Tesla shares soar 13% as Trump win sets stage for Elon Musk's electric vehicle company

I've driven them and they are incredible, but they're not for everybody."

Underscoring this cautious alignment with Musk on EVs, Trump said at a campaign event in Michigan

Well, I like Elon, but the car ... I'm all for them if you want to go to the candy store, buy yourself a little candy and come back home. But if you want to take a trip to a place like Mar-a-Lago to say hello to me, you better get yourself a different mode of transportation."

Since his association with Musk, Trump has rowed back a little on these strong opinions, stating at a rally in June

I'm for electric cars. I have to be, because Elon endorsed me very strongly. So I have no choice."

At a later rally, Trump's opinion softened further, with him saying

[Musk is] a character, he's a special guy, he's a super genius. We have to protect our geniuses—we don't have that many of them,

Trump said during his speech

Tesla has the scale and scope that is unmatched in the EV industry and this dynamic could give Musk and Tesla a clear competitive advantage in a non-EV subsidy environment, coupled by likely higher China tariffs that would continue to push away cheaper Chinese EV players ( BYD , Nio , etc.) from flooding the U.S. market over the coming years,

Ives said in a note

That emotion is Elon made a big bet and was right. This gives investors confidence that his next big bet has a greater potential to succeed,

Munster said in a post on X on Wednesday

Elon Musk's status as Trump's ally from the business community hasn't gone unnoticed by investors who have bid up shares in Tesla by 3% in pre-market trading on the election news,

he said

We have a new star, a star is born: Elon,

Trump said, marvelling at Musk's SpaceX rocket and the deployment of the Starlink satellite internet service during Hurricane Helene

It's still highly unclear what would happen to subsidies for EVs, it's likely a more conciliatory policy will be incoming. He's likely to want to keep Elon Musk onside, and if the promised government advisory role comes through, Musk will wield more influence,

said Susannah Streeter, who heads money and markets at Hargreaves Landsown, reported TOI

We’re going to get the government off your back and out of your pocketbook,

Musk declared to the cheering crowd

It's a dream scenario for any Tesla bull,

he said on CNBC's "Your Money Your Vote" early Wednesday

Ultimately, I think Tesla is the most undervalued AI name in the market,

he also said

Your money is being wasted, and the department of government efficiency is gonna fix that,

he said at the rally

I feel more optimistic about it with a Trump White House than a non-Trump White House

the 54-year-old billionaire said, likely due to Trump's big push into space during his first term, signing an order that aimed at returning Americans to the moon and being the first to Mars

The biggest positive from a Trump win would be for Tesla and Musk,

Daniel Ives, a Wedbush Securities analyst, wrote in a report to clients

Tesla has the scale and scope that is unmatched,

said Wedbush analyst Dan Ives, in a note to investors

The autonomous fast-tracking will be front and center for investors,

Wedbush’s Ives wrote, speculating

A Trump loss would call into question how beneficial [a Kamala] Harris administration would be for Musk's businesses,

Beene said

In the short term, the election results could have immediate implications for both Tesla and SpaceX,

Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek

Trump's policies generally favor traditional energy sources over electrification, which doesn't align with Musk's vision,

Thompson said