Tesla shares set to bounce after selling 83,000 EVs in China

In today’s top stories, Tesla sells a record number of EVs in China in September, semiconductor stocks in China falter and Renault mulls decreasing its Nissan stake. Meanwhile, growth stocks rebound in the past month and Goldman names its energy stock picks.

Tesla shifts 83,000 EVs in China in September

The China Passenger Car Association is expecting total sales of new energy vehicles to have hit 664,000 units in September. This would be a record high, up 87% year-over-year and 5% from August, according to Chinese EV news outlet CnEVPost. Tesla [TSLA] shifted 83,135 units last month, up 8% from August in a record for its Giga factory in Shanghai. The increased output is largely thanks to a recent factory upgrade.

Export controls snarl Chinese chip stocks

The chips were down for Chinese semiconductor companies on Monday with the Naura Technology Group [002371.SZ] share price tumbling 10% and the Hua Hong Semiconductor [1347.HK] falling 9.4%. The drops follow news over the weekend that Washington formalised export controls of US-made chips for advanced applications, such as AI, restricting sales to China. This will “indirectly impact global semiconductor makers’ business opportunities longer term,” Citigroup analysts wrote in a note seen by Bloomberg.

Nissan presses Renault to reduce stake

Shares in Renault [RNO.PA] jumped to a six-month high early morning Monday as it announced that it might look to reduce its €6.1bn stake in Japanese carmaker Nissan [7201.T]. Nissan is keen for Renault to reduce its stake from 43 % to 15%, which would free up around €4bn for the French automaker. Though the capital could be returned to shareholders, it appears more likely to be re-invested in its EV business.

Growth stocks holding up well

The rule of thumb may be to avoid growth stocks during a downturn, but they’re currently faring better than the broader market. The iShares Russell 2000 Growth ETF [IWO] is down 6.4% in the past month versus a 7% decline for the Russell 2000 index. According to a note from 22V Research’s Dennis DeBusschere, seen by Barron’s, “the next most likely phase of the style rotation is one of growth leadership”.

Goldman’s energy efficiency plays

Europe continues to grapple with an energy crisis and things could get worse as winter approaches. Supply concerns have “re-emphasised the need to improve energy efficiency,” according to a note from Goldman Sachs analysts seen by CNBC. The firm likes materials firms Kingspan [KGP.L] and Rockwool [ROCK-B.CO] as a play on insulation, while ABB [ABB] and Siemens Energy [ENR.DE] should benefit from a focus on making technology more efficient.

TSMC could signal electronics slowdown

The bellwether chipmaker Taiwan Semiconductor Manufacturing Company (TSMC) [TSM] could signal a slowdown in electronics demands when it reports Q3 earnings on Thursday, just a week after AMD [AMD] warned that it would miss its third-quarter revenue target. TSMC’s investors will want to hear how Apple’s iPhone production cut might affect full-year sales guidance and whether the gross margin is coming under pressure.

Full-year earnings could reverse YouGov shares

YouGov [YOU.L] has made the headlines the past couple of weeks as Labour surged to a lead in voting intention polls. Investors will be hoping that this is a sign of things to come for the pollster and that its full-year earnings this morning will help boost its share price. The stock is down 48.4% year-to-date despite delivering one of its strongest financial performances in the six months to the end of January.