(News Bulletin 247) – The group specializing in electric vehicles jumped 12% in pre-opening on Wall Street.

While Donald Trump most certainly won the presidential election, Tesla is taking off on Wall Street.

The electric manufacturer led by Elon Musk, very vocal support of the Republican candidate, took 12.3% in pre-opening trading this Wednesday.

This is not the least of the paradoxes given Donald Trump’s positions on electricity. The Republican candidate has never hidden his disenchantment with electric vehicles, Tesla’s specialty in essence.

However, the market hopes that Elon Musk’s efforts during the presidential campaign will bear fruit.

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Tesla would be strengthened by the end of subsidies

And, paradoxically, an American environment less favorable to electric vehicles could support Tesla. At least this is the observation made this Wednesday by Dan Ives, analyst at Wedbush.

“The biggest benefit of a Trump victory would be for Tesla and Musk. We believe a Trump presidency would be negative overall for the electric vehicle industry, as it is likely that rebates/tax incentives for this type of powertrain be removed,” he explains.

“But for Tesla, we see this as a huge positive. Tesla has unmatched scale and reach in the electric vehicle industry and this dynamic could give Musk and Tesla a clear competitive advantage in a vehicle subsidy-free environment. coupled with likely higher Chinese tariffs that would continue to push out cheaper Chinese EV players (BYD, Nio, etc.) from flooding the US market in the years to come,” continues Dan Ives.

“Trump could also accelerate some of Tesla’s (and Waymo’s) FSD and autonomy initiatives if he wins the White House. Accelerating autonomy will be at the forefront plan for investors in this scenario, as some of the 2026/2027 targets for Tesla could be accelerated to stay in line with the Chinese autonomy timeline currently underway,” he wrote again.

“We believe that a Trump victory could add $40 to $50 per share to Tesla’s stock if autonomy/FSD is accelerated from 2025,” the analyst further calculates.