Hey guys, it's sasha, tesla stock has had an insane week last week. He climbed all the way from 843 on friday, 15th of october to 909.68 at the close of play on friday. That is an insane 80 rise in one week who could possibly have predicted this? I mean who could have thought the tesla share. Price is going to go up so fast.

Well, here we are, and this morning tesla share price has gone crazy in pre-market trading as i'm recording this video, which might change by the time you're watching it. Tesla's stock price is up four point: four percent at about 950, that is a very serious jump and there are three three major reasons why this is happening. So let me talk through these three reasons: three very different reasons. By the way, i think all of these reasons will continue to impact tesla's share price.

It's not just a thing for today. It's not just their thing for this week and i also think that we'll be seeing a lot more similar updates over the coming days and weeks. On top of these breaking news, i'm going to cover some of that in just a sec, so the first crucial factor that started at the end of last week and has carried on into today is that wall street analysts have decided to suddenly out of the blue Up their target prices on tesla, wherever you look suddenly, everyone's target price is moving upwards and moving by a lot, and this is because we've just had tesla's q3 results that were announced last week on wednesday. So why is the price moving up? Well, let's look at the institutional investors, some of these institutional investors and some retail investors as well actually devise their strategies based on these analyst target prices.

There are many many funds, many large people with large companies with lots of money who only invest using these specific guide prices by these specific large financial institutions and many less active or less experienced retail investors do so as well. Now the q3 results were announced and they were pretty good. They were very good, they, you know continued tesla's growth, but they weren't really a million miles away from where active followers of tesla stock uh thought that they should be. I mean q3 results are pretty much.

Bang on in line with the forecast that i made at the beginning of this year that i shared on my channel. But, as you probably already know, wall street analysts are not quite as smart or sophisticated as some people might think. They seem to be massively surprised that tesla went and posted a huge set of results that are in line with a lot of people's expectations and tesla is continuing to grow and develop, and that continues to surprise those same wall street investors every single time. And so we see morgan stanley going update their price from 900 to 1200.

That's a 33 increase. I mean it is quite sad in a way sad that such a huge bank with all of those resources, all of those banks of analysts sitting in there collecting their huge fat paychecks and those analysts are so pathetically bad at basic financial forecasting that the numbers tesla Showed on wednesday, which are in line with most of the people's expectations, made them revise their target price by one. Third, i mean if your target price moves by that much in like one day when the results are pretty much in line with expectations. Is that not a sign that those very analysts had absolutely no idea last week? How are they still in their jobs anyway, pretty much all analysts went up and updated their official target prices, those same banks, financial institutions then went and looked at those new prices and said well look.

It is now a 33 more upside stock than what we thought. Last week, so we should go and buy this and they went and bought this, and so did many other institutional investors and we've seen this buying frenzy at the end of last week. As more and more of these target prices were moving upwards and we're seeing a lot of this happening today too. The second big piece of news that came this morning was that hurts the international with huge car hire company is apparently ordering has ordered, maybe is thinking to order, depending which report you read, a hundred thousand teslas a hundred thousand teslas, and this is obviously incredible.

It is also incredibly obvious: the shift to electric cars is happening. These are the cars that people want to drive. These are the people that these are the cars that people aspire to drive. These are cars that are also way way, cheaper to maintain way way cheaper to operate much easier to maintain a fleet off.

If you happen to be a huge rental car company, the rental margins on these cars, because of that demand, are also going to be higher. So here we go, hertz is, according to these reports, placing a big fat order and a hundred thousand cars is a lot that is more than tesla makes per month at the moment. But imagine what happens when everybody else follows when every other rental car company has their emergency board meeting after hearing these news and realizes that they have a choice, a choice between dying as a company or going and buying a hundred thousand of their own teslas. And then taxi and limo companies are going to have their meetings.

Then the companies that buy company cars for their staff will have their meetings. You get the drift. We are still right at the beginning of this ev revolution right at the beginning of that demand. Curve and tesla has been increasing prices dramatically in the last few weeks.

This is all happening despite tesla building new factories, ramping up the existing ones at a rate that we haven't seen before the production is accelerating very fast, but the demand is accelerating faster. This means that revenues for tesla are going to continue climbing and so will their margins. Cash is going to be coming into the business and that cash is going to help push further growth, push ahead with new production lines being ready before. Perhaps people expected new giga factories may be announced, and construction may start sooner than perhaps we would otherwise see.

As we see the cash position go and destroy all expectations over the next two quarters, tesla is getting close to repaying its long-term debt info. It repaid 1.5 billion in the last quarter and as that cash continues rolling in that repayment will probably continue if not accelerate and the street is seeing this and it is causing more investors to understand that. Maybe tesla stock is driving up a one-way street, and maybe we should go and hop on board, and that is exactly what's happening now. The third big reason why tesla share price is jumping is because panasonic have, just in the last few minutes, showing off the 4680 cell.

This is the moment we've been waiting, for. This is big. This is huge. They have just announced the new tablets, 4680 cell, with the new chemistry, is now ready for mass production and they are planning to begin scale mass production for tesla early next year.

This is huge. This is what we give. This is what will give tesla a big edge over their competition, lower cost higher margins, higher efficiency batteries that enable them to scale their production faster, make better cars, make more money on those cars that model y production line in austin is waiting for those batteries. Tesla has been working on this new cell design for a long time now, and we've not had much news and building effective production of these cells has apparently been very tough, but here we are manufacturing of these 4680 shells.

Cells is now in line on the very near horizon, and this is a game changer. Eventually, these new batteries will replace the existing battery packs in other models as well um as the model y. This is a step change that is gon na really change. The picture for tesla elon musk has said that these cells, these 4 680 cells, are what tesla has been waiting for before they can think about building a production line and wrapping up their work on the cyber truck, as well as the semi, and given today's announcement, It looks like the recent sightings that have been published very frequently everywhere about the cyber truck.

The revised version of cyber truck being tested may have something to do with this. Last week, tesla took cyber trucks pricing off their website. You can now place an order blindly, but no pricing is shown when i placed my cyber truck order some time ago you could choose the model and each model had a particular price associated with it. Now, when you place that order, the agreement does say that the price is subject to change.

So i fully expect that come time for delivery, the actual price is most likely going to be much higher because of this level of demand. The development of the tesla semi has also been waiting for the same new sales and only a few days ago, tesla submitted new patent paperwork for a revised battery pack for the semi uh. They submitted that design uh to the authorities and it's interesting the timing here, because it sounds like this has been known by tesla for a few days now. So all of this is pointing to tesla massively sandbagging quite hard when they were saying a few weeks ago that progress with the 4680, the cyber truck and the semi, is slow and told everyone not to really expect any major developments until you know late next year.

This battery news is groundbreaking now, given all three of these updates are happening on the same day. It is no surprise that tesla's share price is exploding today. You just wait until the new factories are fully operational on q2 and next year, and the quarterly results begin, including cars coming from austin and berlin. Those wall street analysts who only ever seem to look back at the last quarterly report, are going to be in for one heck of a surprise when the numbers begin jumping now, if you found this video useful, please don't forget to smash the like button for the Youtube algorithm, thank you so much for watching.

I really really appreciate it and, as always i'll see you guys later, you.