Why Tesla Stock Popped on Christmas Eve
Tesla stock rose 4.5% on Christmas Eve, thanks to Hyundai's decision to switch its electric vehicles to Tesla's North American Charging Standard (NACS). Starting Q4 2024, all new Hyundai EVs will come with NACS connectors, and existing owners of Ioniq 5, Ioniq 6, and Kona Electric will receive free NACS adapters. This move potentially adds at least 112,000 new customers to Tesla's Supercharger network, coinciding with Hyundai's strong EV sales growth of 77% in November.
Tesla (TSLA 5.13%) stock investors received an early Christmas gift from Hyundai (HYMTF -7.03%) this morning: at least 112,000 new potential customers for its Supercharger electric car charging system.
Tesla stock is up 4.5% through 10:45 a.m. ET on the news.
Details, please
Tesla spent the bulk of 2023 reporting a series of alliances with other carmakers around the world, in the form of announcements that these other carmakers -- Hyundai, Honda, GM, Ford Motor Company, and others -- would switch their electric cars' primary charging technology from the putative "Common Charging System" for all carmakers, to Tesla's North American Charging Standard (NACS) instead. In Hyundai's case, the switchover began in Q4 2024 -- as in, from now onwards, all Hyundai electric vehicles should be sold exclusively with NACS charging connectors.
But what about all the electric Hyundais that have already been sold with CCS connectors, you ask?
Well, adaptors are available for sale. General Motors will sell its customers a NACS adapter for $225, and Ford will sell one for $200. As InsideEVs reported this morning, however, Hyundai is going to start giving away NACS adaptors for free. This will enable owners of early-edition Ioniq 5, Ioniq 6, and Kona Electric EVs to begin using Tesla's Superchargers immediately, and at no cost (well, aside from the cost of the electricity), which should encourage them to make the switch.
Hyundai's Christmas gift to Tesla
What does this mean for Tesla? Well, according to data from goodcarbadcar.net, Hyundai has sold about 112,000 Ioniq EVs in the U.S. already, and an unspecified number of Konas. And Hyundai EV sales are growing strongly up 77% in November, with more than 50,000 EV sales in 2024 so far, and a new Ioniq 9 on the way.
Long story short, Hyundai just gifted Tesla at least 112,000 new potential electric car customers for its Supercharger network, with tens of thousands more on the way. This should make for a very merry Christmas for Tesla investors.