Tesla, MicroStrategy and Intel Stocks Are Sinking Today

By Ian Cooper Published Mar 4, 11:08AM EST

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Tesla, MicroStrategy and Intel Stocks Are Sinking Today — © Dilok Klaisataporn / Shutterstock.com

Markets are a disaster.

Over the last two days, the Dow plummeted from a high of 43,900 to 42,776. The NASDAQ dropped from 18,923 and 18,183. The S&P 500 from 5,968 to 5,797.

Key Points About This Article

Over the last two days, the Dow plummeted from a high of 43,900 to 42,776. The NASDAQ dropped from 18,923 and 18,183. The S&P 500 from 5,968 to 5,797. All thanks to new tariffs on Canada, Mexico, and China.
While the Tesla stock is oversold, after breaking through its 200-day moving average, we’re not seeing any signs of support until $238.88 a share.
Bitcoin now trades at $84,010 and is still sinking, which isn’t good for MicroStrategy.
If you’re looking for some stocks with huge potential, make sure to grab a free copy of our brand-new “The Next NVIDIA” report. It features a software stock we’re confident has 10X potential.

All thanks to new tariffs on Canada, Mexico, and China.

All of which are stoking fears of higher inflation, and concerns that tariffs could choke the economy, according to Moody’s. Even the International Chamber of Commerce (ICC) says tariffs could sink the world into a new Great Depression.

So, it comes as no real surprise that former high fliers are bloodbaths today.

Look at Tesla, for example.

Since mid-February, shares of Tesla (NASDAQ:TSLA | TSLA Price Prediction) dropped from about $367 to a low of $272.77. While the electric vehicle stock is oversold, it could slip even more. In fact, after breaking through its 200-day moving average, we’re not seeing any signs of support until $238.88 a share.

Not helping, Tesla’s China-made electric vehicles fell about 49.2% in February thanks to tough market competition. Deliveries fell 51.5% in January. Also, according to Morgan Stanley, recent sales weakness is a “buyer’s strike” with CEO Elon Musk’s political activities.

MicroStrategy is Down 41% Since January

Since peaking at $404.42, shares of MicroStrategy (NASDAQ:MSTR) are now down to $240.28, a 41% loss in weeks. Sure, the company owns 499,096 Bitcoin, which was a great revenue-producer when the digital currency soared well above $100,000.

Nowadays, Bitcoin trades at $84,010 and is still sinking, which isn’t so great for MSTR. It’s all a quick reminder that cryptocurrency market volatility has a substantial impact on stocks like this one.

Technically, MSTR did catch support at its 200-day moving average, where it’s consolidating. Hopefully, it’ll turn higher. If not, and it breaks below its 200-day, its next line of support is at about $197.10 a share.

Intel is Down 22% Since Mid-February

Since peaking at $27.55, Intel (NASDAQ:INTC) sank to $21.42, giving up 22% in just weeks.

While the tech giant did get a boost on news Nvidia and Broadcom are testing its chip manufacturing process, the move didn’t last long. There was even news Taiwan Semiconductor Manufacturing’s (TSMC) CEO C.C. Wei could potentially buy Intel’s foundry business. Unfortunately, that never materialized, sinking the stock. We also have to consider that such a transaction would face significant approval challenges.

Not helping, the company’s market share of CPUs, GPUs, and data centers is eroding. It’s seeing increasingly strong competitive challenges from Advanced Micro Devices and Nvidia. We also have to consider that earnings and guidance haven’t been impressive, with net income and free cash flow continuing to drop.

Contact [email protected] for any questions or corrections.

Disclaimer: Energy Exploration Technologies, Inc. ("EnergyX") has engaged 24/7 Wall St to publish this communication in connection with EnergyX's ongoing Regulation A offering. 24/7 Wall St has been paid in cash and may receive additional compensation. 24/7 Wall St and/or its affiliates do not currently hold securities of EnergyX.

This compensation and any current or future ownership interest could create a conflict of interest. Please consider this disclosure alongside EnergyX's offering materials. EnergyX's Regulation A offering has been qualified by the SEC. Offers and sales may be made only by means of the qualified offering circular. Before investing, carefully review the offering circular, including the risk factors. The offering circular is available at invest.energyx.com/.

Comparisons to other companies are for informational purposes only and should not imply similar results. Past performance is not indicative of future results. Market shortfall are forward‑looking estimates and are subject to substantial uncertainty. Investments in private placements, and start-up investments in particular, are long-term, illiquid, speculative and involve a high degree of risk and those investors who cannot afford to lose their entire investment should not invest in start-ups

Follow 24/7 Wall St. on Google

About the Author Ian Cooper →

Ian Cooper is a veteran market analyst and investment strategist with more than 20 years of experience covering stocks, commodities, and macro trends. Since 1999, he has helped investors identify market opportunities using a blend of technical analysis, fundamental research, and market sentiment.

He is the creator of the ADD News Flow Strategy, which focuses on trading market reactions to major news events and investor psychology. Cooper was also among the analysts who warned about the 2008 financial crisis and major financial institution collapses ahead of the broader market.

Before joining 247 Wall St., Cooper wrote extensively for InvestorPlace and other financial publications, covering market trends, trading strategies, and investment opportunities.