Tesla (TSLA) kicked off earnings season for the Magnificent Seven with mixed results, leading to a significant surge in its stock price, climbing nearly 20%. As investors assess Tesla’s performance, the question arises: how should they approach the tech sector moving forward?
Tony Zipparro, CEO of EquitySet, suggests that in the short to medium term, Tesla could be a strategic buy if its stock closes above the $260-$265 range, potentially reaching $300. However, if the stock falters, it could drop to around $200.
Looking beyond Tesla, Zipparro warns of potential risks for other tech giants in the Magnificent Seven, like Microsoft (MSFT) and Meta Platforms (META), citing declining revenue and weakening consumer fundamentals. He emphasizes the importance of remaining defensive amidst market volatility, especially with the 2024 election on the horizon.