Stocks to Watch Thursday: Tesla, Nvidia, Alibaba

As the new year begins, investors are keeping a close eye on several key stocks, including Tesla, Nvidia, and Alibaba. These companies have been making headlines and are expected to continue driving market interest in 2025. Let's take a closer look at each of these stocks and the factors influencing their performance.



Tesla (TSLA)

Tesla, the electric vehicle (EV) pioneer, has been a market darling for years, but recent competition from companies like BYD is putting pressure on its market share. As of January 2, 2025, Tesla's stock price is $403.84, and its market cap is $1,296,350,576,640. Despite the competition, Tesla's innovative products and strong brand continue to drive demand.

Tesla's revenue growth in 2024 was 0.078, and its earnings per share (EPS) were $3.63. However, its forward EPS is expected to be $3.24, indicating a potential decrease in earnings. This could impact Tesla's stock price and market cap, as investors may be concerned about the company's future financial performance.

Tesla's regulatory credits and energy storage systems are significant contributors to its revenue and stock performance. In 2024, Tesla's regulatory credit revenue was $1.5 billion, contributing to its total revenue of $25.18 billion. Additionally, Tesla's energy storage deployments grew by 127% year-over-year in the third quarter of 2024, demonstrating the company's ability to expand into new markets and adapt to changing consumer demands.



Nvidia (NVDA)

Nvidia, the leading AI hardware company, has been making significant investments in the AI sector, totaling $1 billion in 2024. This strategic move allows Nvidia to strengthen its ecosystem, stay ahead of technological advancements, expand its customer base, and diversify its revenue streams. As of January 2, 2025, Nvidia's stock price is $134.29, and its market cap is $328,876,189,284.

Nvidia's investment in AI companies aligns with its long-term growth strategy and market positioning. The global AI market is expected to grow at a CAGR of 33.1% from 2021 to 2028, reaching $190.61 billion by 2028. Nvidia's investment in AI companies helps it tap into this growing market demand and maintain its market leadership in AI hardware.



Alibaba (BABA, 9988.HK)

Alibaba, the Chinese e-commerce giant, has been facing challenges in recent years due to regulatory pressures and increased competition. However, the company is taking steps to address these issues and refocus on its core e-commerce business. As of January 2, 2025, Alibaba's stock price is $117.50, and its market cap is $297,475,040,000.

Alibaba's stock tipped lower on Thursday as markets absorbed news that the company will sell its shares in hypermarket chain Sun Art at a steep discount. This move is part of Alibaba's efforts to streamline its business and focus on its core e-commerce operations.



In conclusion, Tesla, Nvidia, and Alibaba are stocks to watch in 2025, each with its unique challenges and opportunities. Investors should closely monitor these companies' performance and the factors influencing their stock prices and market caps. As the new year unfolds, these stocks are expected to continue driving market interest and potentially delivering significant returns for investors.