How To Buy Tesla Shares

Trade Tesla with a low cost trading app whether you are a beginner or an expert

What the right share trading app or platform is for you will depend on your requirements.

Who are Tesla?

Tesla is a major electric vehicle manufacturer and clean energy company based in California, US.

Founded in 2003, they are today one of the largest car manufacturers in the world. They also design and manufacture energy storage solutions including batteries, solar panels and solar roof tiles.

With entrepreneur and business magnate Elon Musk as CEO, Tesla’s market capitalisation surpassed $1.2 trillion in 2021 after experiencing a surge in value throughout the year.

Share Trading Apps Comparison

Trading Platforms: Features:* Go To Site:
eToro Share Dealing eToro offers 0% Commission Trading. Free access to TipRanks expert share analysis.

67% of retail investor accounts lose money. Capital at risk.

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dEGIRO sHARE dEALING DEGIRO are one of largest and cheapest brokers in Europe. Access to over 50 markets in 30 countries. Low commissions/fees. User-friendly, simple platform.

Investing involves risk of loss.

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Saxo Bank SAXO Access over 30,000+ stocks across 60+ exchanges worldwide. Ultra competitive pricing. Benefit from extensive charting with 50+ technical indicators, integrated Trade Signals and innovative risk management tools.

Investing involves risk of loss.

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IG IG Trade & invest with the world’s leading online trading provider.** Trade over 17,000 markets with spread bets and CFDs and invest in thousands of global shares & ETFs.

70% of retail investor accounts lose money. Capital at risk.

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Fineco Bank has 1.3 million clients. No inactivity charges. SPECIAL OFFER: £500 in trading commissions – open an a/c by 31st Dec. & get £500 trading commission to use within 3 months. T&Cs apply.

Capital at risk.

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Freedom 24 offer lowest fees in Europe. Listed on NASDAQ. Great for IPOs.

Capital at risk.

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HL Share Dealing Hargreaves Lansdown The UK’s #1 broker. Price improvement service helps you get the best price for your shares.

Capital at risk.

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AJ Bell Sharedealing AJ Bell offers overseas trading in 24 international markets.

Capital at risk.

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ii Share Dealing Interactive Investor are the UK’s #1 flat fee platform. Over 350,000 customers.

Capital at risk.

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*Please note that additional fees may be applied by platform/App providers for their services. ** No 1 For CFDs and spread betting, based on revenue excluding FX (published financial statements, June 2020).


Tesla Stock Trading News

Tesla announced its 2021 Q3 financial results on 20th October.

Key financial highlights:

  • The company achieved its best-ever net-income results.
  • They reached an operating margin of 14.6%, exceeding their medium-term targets in this regard.
  • The average selling price of Tesla vehicles was down 6%, but their reduced operating costs outweighed the difference.

The production of Tesla’s Model 3 and Model Y vehicles were up 79% year on year, and deliveries of these vehicles were up 87%. The company also developed 3,254 supercharger stations and 29,281 supercharger connectors, marking an approximated 50% year on year increase for each product.

We break down their recent trading news in more detail later on, here.

How to buy Tesla shares

Our view:  The next generation of online trading platform means you can get setup & buy Tesla shares in as little as 5 minutes!

  1. Select a share platform – See our top platform picks
  2. Open your share account – To do this you will need your bank details and national insurance number
  3. Fund your account – You will need to fund your a/c with a debit or credit card or bank transfer
  4. Search for the share using the Tesla stock code – Type in the TSLA stock code into the search box
  5. Check out the latest info and price for the selected share – Some platforms offer free research and analysis
  6. Buy the share – Nice and easy!

eToro – Offers 0% commission free trading

“eToro is the world’s largest community of traders and investors, numbering more than 10 million from more than 140 countries.”

One of the attractions of eToro as a platform is the ability to participate in copy and social trading.

CopyTrader is eToro’s most popular feature and allows you to view what traders are doing in real time and copy their trading automatically. If you are a beginner learning the basics or simply don’t have time to watch the markets, this feature allows you to leverage other traders expertise.

Buy US, UK & International StockseToro Share Dealing

Capital is at risk. 

  • 0% commission on stocks (other fees apply)
  • Copy successful traders
  • Features for novices & experts
  • Free access to TipRanks expert share analysis
  • Editors choice “Great for new traders”

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Tesla Trading News Continued

Vehicle production has continued to be hindered by the global pandemic due to supply chain disruptions and their factories not operating at maximum capacity.

However, the ‘Gigafactory’ in Texas is on schedule for development and should significantly increase production numbers going forward, with the company currently in the process of commissioning equipment and fabricating their first pre-production vehicles for the factory.

Looking ahead, Tesla expects to achieve a 50% average annual growth in vehicle deliveries depending on equipment capacity, operational efficiency, and supply chain stability.

Tesla believes that the more electric vehicles they have on the road, the more awareness and popularity is created for electric vehicles in general which adds value to their products.

In AI and self-driving vehicle developments, Tesla hosted an “AI day” in Q3 with the aim of attracting the best AI development talent. The company states they have received an “overwhelming number of applicants” in response to the event.

The company also released a new app giving Tesla owners greater remote control over their vehicles and added features including an integrated Disney+ streaming service.

In regard to Tesla’s Solar Retrofit and Solar Roof projects, productivity increased 46% year on year.

Also on the horizon is Tesla’s Cybertruck, an off-road vehicle with a futuristic aesthetic, which is currently planned for Austin production following Model Y.

On 6th November, Elon Musk asked his 65 million Twitter followers whether he should sell 10% of his Twitter stock holding. The question was raised in response to social criticism that whilst his wealth is predominantly held in stock, he will not be paying any taxes on it unless liquidated.

Upon posting the vote, Tesla’s share price fluctuated dramatically and even dropped close to 10% in value over the course of one trading day.

Over 3.5 million Twitter users voted for Musk to sell his shares, and on 12th November he sold $6.9 billion of Tesla stock.

However, it’s worth noting that since selling this chunk of his shareholding, Musk has continued to exercise options to buy millions more Tesla shares – all for less than 1% of their trading value.

And in December, Musk already owns more shares than he did before he dramatically sold 10% of his holding.

On 2nd January 2022, Tesla announced that in the fourth quarter of 2021 the company achieved production of over 305,000 vehicles and delivered over 308,000 vehicles. This brings their total 2021 vehicle deliveries to over 936,000.

It’s positive news on face value, and although the company is yet to announce its full financial results for the quarter, Tesla’s share price rose over 13.5% on the following day of trading in response to the news.

How to select a share trading app/platform?

Trading platform services offered vary widely, and so do the costs.

5 things to think about:

1. How do you want to trade ?

There are different ways to trade shares online:

a. Short term trading – Spread betting & CFDs

Looking to take advantage of short term opportunities in the market?

With derivatives trading you can use products such as CFDs and spread bets to speculate on Tesla’s share price increasing or decreasing without having to take direct ownership of the shares themselves.

CFDs (Contracts For Difference) and spread betting are leveraged products, which means you can gain full exposure to company shares while only putting down a small deposit. While this magnifies possible profits, it does the same for losses.

CFDs & spread bets are popular among short term traders as profits and losses are realised immediately – making it faster to open and close trades. However, this doesn’t mean you can’t use them for longer-term positions too. You’d just need to consider the costs involved in maintaining a position – such as overnight funding – and the bet duration as spread bets do have fixed terms.

They also enable you to buy and sell shares online without ever owning the underlying asset. This has tax benefits and means you can trade both rising and falling markets (Tax laws are subject to change).

b. Long term trading – Investing in shares

Looking to take a longer term position in Tesla shares?

Share dealing services enables you to invest in company shares with a view to selling them for a profit at a later date. When you buy shares in Tesla you become a part owner of that Company and gain shareholder rights including any income that is paid as dividends.

Different share dealing services have different charging structures. Some platforms offer commission free share dealing, but most operate on a fixed fee per trade with usually a reduction in this fee if you carry out more than a certain number of trades per month.

With profits you make on share trading capital gains and dividends earned may be subject to tax at your personal rate. Tax can be mitigated if you trade within an ISA or Self Invested Personal Pension account.

2. Do you want to do a lot of trading?

Active investors will want to look for a platform that offers the lowest fees for volume trades.

If you are going to trade stock regularly most trading platforms will offer lower trading prices based on volume.

3. How easy to use is this trading platform: what kind of tools and customer service does it offer?

How easy is the platform to use to buy and sell shares for new traders/investors?

Platform functionality is becoming the key battleground in persuading traders which platform to go for.

Mobile app features are also key in offering traders alerts and buy/sell signals whilst on the move.

These are often the criteria that count most highly with users, so do some research and read the reviews.

Many investors are prepared to pay a bit more in fees  for a platform that offers really useful apps and services.

Some platforms such as eToro offer customers the option of copying trades of successful traders. This can be an attractive option for new traders where you don’t have to decide when to buy or sell. For more info on what is copy trading and how does it work click here.

4. Types of trading accounts for long term trading?

Some trading platforms offer as well as general share trading accounts, ISA accounts and Self Invested Personal Pension Accounts which offer tax free trading benefits (no tax on dividends or capital gains tax on realised profit).

Trader accounts which offer ISA and SIPP accounts include Interactive Investor, AJ Bell, and Hargreaves Lansdown

5. Do you want to trade just in shares, funds, or shares & funds?

If you also interested in investing or trading in funds then this again may determine who you go with.

If you are interested in ETFs, Investment Trusts, Open Ended Investment Companies (OEICs) or Unit Trusts then you will need to check with the platform provider what is available. E.g. Some platforms only offer a limited number of collectives such as OEICs.

Charging structured for funds held on the platform will vary. Over time the impact of such charges can be significant. Check the platform charging structure carefully.

About Tesla Inc

Tesla has seen an uptake in deliveries for its Model 3 and Model Y vehicles compared to its Model S and X cars, and are looking to scale up production levels with a new large factory in Texas that aims to considerably increase its maximum capacity of production.

The company’s valuation makes it the most valuable vehicle production company in the world. However, some investors see the long-term growth potential of the company as fairly speculative, with its main competitors pumping huge sums of investment into closing Tesla’s technological advantages.

Tesla is also famous for its development of self-driving cars which could potentially revolutionise the transport industry if they can deliver on their targets.

However, with many technological and regulatory boundaries standing in the way, it won’t be an easy journey to see automated vehicles on our roads across the world any time soon.

The company’s share price has also been known to be very reactive to Musk’s personal behaviour and social media posts. The CEO often makes controversial comments on Twitter, notably in relation to Bitcoin and other cryptocurrencies, that spark a reaction amongst shareholders.

Tesla has held over $1bn worth of Bitcoin on its balance sheet at points and does so at the time of writing, and Musk’s occasional speculation of the currency’s value has caused the price of both Bitcoin and Tesla to fluctuate in the past.

In October 2021 Tesla announced a deal with hire car firm Hertz with an agreement to purchase 100,000 Tesla vehicles for a reported $4.2bn. This move is more than just about a monetary return, as it allows people the opportunity to try an electric car before buying providing Tesla with a significant marketing opportunity to the “EV curious.”

See the latest Tesla share price and performance stats including trader views.

IMPORTANT:

No news, feature article or comment should be seen as a personal recommendation to invest. Prior to making any decision to invest, you should ensure that you are familiar with the risks associated with a particular plan. If you are at all unsure of the suitability of a particular product, both in respect of its objectives and its risk profile, you should seek independent financial advice.

The value of shares, ETFs and ETCs bought through a share dealing account, a stocks and shares ISA or a SIPP can fall as well as rise, which could mean getting back less than you originally put in. Past performance is no guarantee of future results.

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 67%-70% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money. Professional clients can lose more than they deposit. All trading involves risk.

Tax treatment of ISAs depends on your individual circumstances and is based on current law which may be subject to change in the future. ISA transfer charges may apply, please check with your provider.