Sister Mu Tou: If I had to hold a stock for 10 years, it would be Tesla

$Tesla (TSLA.US)$The strong rebound since the beginning of the year has further strengthened the confidence that Sister Mu Dou has held for a long time.

Recently, Cathie Wood, CEO of Ark Investments, said in an interview with the media that if they had to buy a stock today and hold it for the next 10 years, it would be Tesla.

Affected by the Federal Reserve's interest rate hike and the farce of Musk's acquisition of Twitter, Tesla's stock price plummeted 65% in 2022. However, Sister Mu Tou, a longtime fan, persisted, and even voted with her feet to continue buying, especially after Tesla set off a global price war and announced drastic price cuts for major models in China, Europe, and the US.

Wood anticipates that Tesla's price cuts will restore some of last year's falling demand, and the price cuts mean rival electric car makers will be “hard to keep up.” She also believes Tesla will be the leader in the delivery robot market. She estimates that in the next 10 years, the size of the delivery robot market will expand to 1 trillion dollars.

Sister Mu Tou's fund snapped up 47 million dollars of Tesla shares during the week of January.Tesla is Ark's flagship fund$ARK Innovation ETF (ARKK.US)$The largest position. Currently, it holds Tesla shares worth 733 million US dollars.

And Tesla didn't live up to Wood's expectations. The major reversal in Tesla's stock price since January helped Ark Fund experience a dismal 2022 counterattack.

The ARK Innovation ETF's return in January reached an astonishing 28%, setting a record high monthly return since the fund's inception, and also outperforming the 11% increase in January, which is dominated by technology stocks. The fund has rebounded nearly 46% year to date.

Wood expects Tesla's share price to reach $1,500 per share over the next five years, which means Tesla's share price will rise 697% from current levels.Previously, she said that by 2026, the stock price could jump to 4,600 US dollars, which would mean an increase of more than 2000%.

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