Tesla Stock: Automaker Hits The Throttle In 2022, Sees Shares Surge Over 10%

Tesla (TSLA) had a stellar start to the New Year as its shares soared almost 14% after it beat fourth-quarter and year-end delivery estimates, which it announced on Sunday.

Tesla said it delivered a record 308,600 vehicles for the fourth quarter and 936,172 units in 2021 – an 87% increase year over year.

Wall Street analysts had predicted the electric carmaker would deliver 267,000 for the quarter and 897,000 for the year, according to a consensus compiled by FactSet, as reported by CNBC.

In the third quarter, Tesla delivered 241,300 vehicles – a record at the time.

The strong showing put the EV maker on a record path for 2022, which one analyst called a “trophy-case” performance, according to Bloomberg News.

“This is a trophy-case quarter for Tesla as the company blew away even bull-case expectations,” Daniel Ives, an analyst at Wedbush Securities, said in an email.

Ives called the stock a “jaw-dropper performance” for the end of the year that gives “massive tailwinds” heading into 2022.

The news of Tesla's record deliveries comes at a time when other automakers are struggling amid a chip shortage. Plants are temporarily shutting down, and shifts are being cut at some auto companies because of the semiconductor chip shortages.

However, Tesla seemed to divert the challenges of the chip disruption, as Ives continued in his note to clients, citing CEO Elon Musk’s and Tesla’s skill at navigating the semiconductor shortage of 2021, Bloomberg News reported.

Jeffrey Osborne, a Cowen analyst, told the news outlet, “Tesla continues to execute well, posting deliveries and production above consensus expectations. As the competition heats up from incumbent OEMs and new entrants alike, we see 2022 becoming a critical year for Tesla.”

The surge in Tesla stock follows the sell-off by Musk of 10% of his stake in the company as the billionaire said he was saddled with an $11 billion tax bill.

Musk, who is the richest person in the world, has a net worth of $270 billion, according to Bloomberg’s Billionaires Index.

Tesla stock had its first losing month in December since May and reached record highs in early November. Tesla’s stock surged almost 50% in 2021, giving it a market valuation that exceeds $1 trillion, making it the most valuable automaker in the world.

As of the close of trading on Monday, shares of Tesla traded at $1,199.78, up $143, or 13.5%.