Tesla Shares Gains 4 After Gm Agrees To Use Its Charging Network

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Tesla Shares Gains 4 After Gm Agrees To Use Its Charging Network

Tesla Shares Gains 4% After GM Agrees To Use Its Charging Network

During the Friday trading session, Tesla shares gained a 4% upside after the announcement that General Motors (GM) had agreed to join its charging network. Earlier, the Ford company also agreed to use the company's EV charging network.

According to experts, this was a big win for Tesla and will help its Superchargers to become an industry standard within the USA.

NACS To Become Primary Network In USA

Overall, the partnership has joined the three automakers from the USA: Tesla, General Motors, and Ford. This partnership means that 60% of the EVs in the USA can now access the NACS (North American Charging Standard) offered by Tesla.

In addition, this move will also make Tesla the primary network for charging electric vehicles in the country. In other words, it will further cement Tesla's role as a dominant force in the EV market.

Another big development was the announcement from the White House about how the EV charging stations using the standard plugs from Tesla will become eligible for federal subsidies.

According to one senior investment strategist, Tesla is hoping that it will become eligible for federal tax dollars due to its CCS adapters. He also said that this move by Tesla would be negative for the 3rd party EV charging stations.

After the news, independent EV charging companies such as Blink Charging, ChargePoint Holdings, & EVgo were all down by 11% - 13%.

According to experts at Wedbush Securities, the GM and FORD combined will allow Tesla to earn $3 billion in revenue during the next few years.

Since this is good news for Tesla, the forecast price for Tesla was also raised to $300 per share, which is an upside of 30% from its last close.

If we look at Tesla's stock performance, it is enjoying one of its longest wining streaks in years and was the most traded stock during the US session.

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