BlackRock’s Latest Portfolio 2022: Top 5 Stock Picks

4. Tesla, Inc. (NASDAQ:TSLA)

BlackRock’s Stake Value: 55,241,453

Percentage of BlackRock’s 13F Portfolio: 1.6%

Number of Hedge Funds as of December 31: 91

Tesla, Inc. (NASDAQ:TSLA) is a Texas-based developer and manufacturer of electric vehicles and is the biggest publicly listed automobile company in the world. The company is facing challenges on multiple ends under the leadership of Elon Musk. Due to the COVID-19-related lockdown in China, Tesla, Inc. (NASDAQ:TSLA) reported weak production and sales numbers for April 2022. Furthermore, investors have not positively welcomed the news of Musk’s plan to acquire social media company Twitter, Inc. (NASDAQ:TWTR). However, according to the most recent updates, Musk has temporarily put the $44 billion Twitter deal on hold following tough negotiations.

In addition, Tesla, Inc. (NASDAQ:TSLA) has also put its plan to enter the Indian market on hold following a deadlock in negotiations with the government authorities regarding tariffs on imports. At present, tariffs on imported cars can be as much as 100%. The Indian government is not willing to compromise on the tariffs as it wants Tesla, Inc. (NASDAQ:TSLA) to manufacture EVs locally.

Fiduciary Management mentioned Tesla, Inc. (NASDAQ:TSLA) in its investor letter for Q1 2022. Here’s what it had to say:

“Remarkably, the Nasdaq-100 and Russell 2000 indices are up 6.25% and 3.90% through 3/31/22, respectively, since the war started. Tesla, Inc. (NASDAQ:TSLA) went up 57% from its low on February 24 ($700) to the close on March 29th ($1099), which equates to an advance of $413 billion. To put that in perspective, the 24-trading day gain in Tesla was greater than the entire market value of Walmart, Inc.! Tesla trades for 120 times estimated 2022 GAAP2 earnings, compared to Walmart’s (NYSE:WMT) 21.8 multiple (1/2023 fiscal year).”

Of the 924 hedge funds tracked by Insider Monkey at the end of Q4 2021, 91 funds held a stake in Tesla, Inc. (NASDAQ:TSLA).