by Aditya Soni and Hyunjoo Jin
(Reuters) – Tesla shares climbed on Wall Street on Friday as news of an agreement between General Motors (GM) and the electric vehicle maker over Elon Musk’s group charging system raised hopes among investors that its Supercharger network becomes the reference in the United States.
Around 3:15 p.m. GMT, Tesla gained 5.70% to $248.255, its highest level since October. The title is about to record its eleventh consecutive session of gains, which would represent an unequaled performance for two and a half years.
After Ford, General Motors will in turn adopt Tesla’s NACS charging port, giving its North American customers access to the Supercharger fast charging network, the Detroit manufacturer announced on Thursday.
Mary Barra, GM’s chief executive, said they have “a real opportunity to make NACS the unified standard for North America, which would allow for wider adoption.” On Wall Street, the title GM takes 2.04% and Ford 1.51%. This rare partnership between three of the largest American automakers ensures that nearly 70% of the electric car fleet in the United States will be able to access the Supercharger network.
Pressure is mounting on other companies in the industry to upgrade their networks to make them compatible with Tesla’s.
The title of the global network of ChargePoint charging stations fell by 12.12%. Competitors EVgo and Blink Charging are dropping 16.90% and 9.75% respectively.
Tesla has “got a head start in this game and the others, who were at a disadvantage, are trying to catch up,” said AJ Bell analyst Danni Hewson, adding that the charging business could become a big driver of growth. growth for Tesla. Wedbush Securities estimates that Ford and GM combined could add $3 billion to Tesla’s charging services revenue over the next few years. Analysts raised the group’s price target to $300, nearly 30% above its Thursday closing price.
(With Chavi Mehta in Bangalore, French version Laetitia Volga, editing by Kate Entringer)
Copyright © 2023 Thomson Reuters