Tesla ETF Skyrockets as EV Maker Nears Record Highs
Shares of the EV company are approaching record highs for the first time since 2021.
It took three years, but shares of Tesla are knocking on the door of all-time highs once again. On Monday, shares of the electric vehicle company briefly soared to $405, just short of their all-time closing high of $409.97 set in November 2021.
In turn, the highly popular Direxion Daily TSLA Bull 2X Shares (TSLL) also spiked—to as much as $29, above the all-time closing high of $27.35 set shortly after the ETF’s launch.
TSLL debuted in August 2022 and has consistently been one of the most popular single-stock leveraged exchange-traded funds on the market since then.
The ETF was the first single-stock ETF to hit $1 billion in assets under management, a feat it achieved in July 2023.
The fund maintained a committed investor base despite a bumpy road for Tesla’s stock. After reaching a record high of nearly $410 in November 2021, shares of Tesla dropped to $108 in January 2023.
TSLA Stock Shares Reach Record Highs
From there, they nearly tripled to $293 in July 2023 before tumbling to $142 in April of this year.
Since putting in its lows in the spring, Tesla shares have climbed rapidly. First on hopes that the electric vehicle market was reaching a bottom, then on hopes about Tesla’s robotaxi, and finally after Trump secured an election win thanks to strong backing from Tesla CEO, Elon Musk.
TSLL fell as low as $5 in April, while AUM dropped to $557 million at that time.
Since then, the fund’s price has risen sixfold while its assets under management has surged eightfold to $4.3 billion.
The fund has seen inflows of almost $400 million this year, while its seen inflows of $1.3 billion since its launch in 2022.
However, the ETF has lost its single stock ETF crown to the GraniteShares 2x Long NVDA Daily ETF (NVDL), which has $6 billion in assets under management thanks to inflows of $3.1 billion this year.
