BY Claudia Assis
Tesla Inc. stock and other select few electric-car and alternative-energy stocks rallied on Tuesday, readily outperforming traditional-energy stocks amid a broader stock-market rally.
Tesla (TSLA) stock rose 5.84%, its largest one-day gain since Sept. 15, when it rose 7.18%. The stock's close at $423.90 was its best in nearly two weeks. Tesla shares have quintupled this year.
Shares of Nikola Corp. (NKLA) and the American depositary receipts of China's Nio Inc. (NIO), both makers of electric vehicles, also outperformed the broad market as well as the day's gains for General Motors Co. (GM) and Ford Motor Co. (F).
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The rally did not extend to shares of solar-power companies, for the most part, with SunRun Inc. (RUN) ending the day in the red and SolarEdge Technologies Inc. (SEDG) adding to its late-Monday stumble.
SolarEdge, a maker of solar inverters and other devices, late Monday reported below-expectations third-quarter sales () and guided for weaker sales in the fourth quarter.
Two of the largest exchange-traded funds focusing on solar and other clean-energy stocks diverged on Tuesday, with the iShares Global Clean Energy (ICLN) underperforming the S&P 500 index only slightly and the Invesco Solar ETF (TAN) ending in the red.
Both have had hefty gains for the year, up 71% and 125% respectively, and have SunRun among their top holdings (). In comparison, the S&P 500 index has gained 4.3% so far in 2020.
Tuesday's performance for the solar ETFs compared with steeper losses for ETFs dedicated to oil and gas shares, however. The SPDR Energy Select Sector (XLE) is down 51% for the year on concerns that the pandemic will continue to chip away at demand for oil and gas and bouts of oversupply.
-BY Claudia Assis; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
November 03, 2020 18:33 ET (23:33 GMT)
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