How To Buy Tesla Stock on eToro
With its innovative electric vehicles and energy products, Tesla has been one of the hottest stocks in recent years. While investing in Tesla or any individual stock carries risks, buying shares can give exposure to Tesla’s growth potential as electric transportation goes mainstream. The eToro trading platform makes it simple for beginners to invest in stocks like Tesla. You can open an account, deposit funds, and buy Tesla shares in just a few clicks.
This guide will walk you through the quick process step-by-step. You’ll learn how to search for Tesla stock, open your position, monitor your investment, and manage risk. Tips are also provided for investing in Tesla and any stocks using eToro. Read on to learn how you can add Tesla or other companies to your portfolio with this user-friendly investment platform.
What is eToro?
eToro is a popular online brokerage platform founded in 2007. It allows anyone to invest in stocks, ETFs, cryptocurrencies, and more from one account. eToro stands out for its social trading features, including CopyTrader, which lets you automatically mimic other successful traders’ portfolios.
With over 20 million users worldwide, eToro makes it simple for beginners to start buying stocks and building their portfolios. The platform is regulated across multiple jurisdictions and offers secure investing for people in over 100 countries.
Why Invest in Tesla Stock?
Tesla (ticker: TSLA) has been one of the hottest stocks in recent years. Here are some key reasons to consider investing in Tesla:
- Leader in electric vehicles and clean energy products. Tesla sells not just cars but also solar panels, battery storage, and more.
- Massive growth potential as EVs go mainstream. Tesla delivered over 936,000 vehicles in 2021 and hopes to grow 50% per year.
- Innovator led by CEO Elon Musk. Tesla is at the forefront of self-driving tech and frequently adds new capabilities via over-the-air software updates.
- Strong brand loyalty and demand exceeding supply. Tesla has long waiting lists for its vehicles and continues setting new sales records.
For these reasons, many investors see Tesla as a long-term growth stock as electrification, autonomy, and sustainable energy become increasingly important trends.
Step-by-Step Guide to Buying Tesla Stock on eToro
Buying Tesla or any other stock on eToro only takes a few simple steps:
H3: Step 1: Open an eToro Account
First, go to www.etoro.com and click “Join Now” to open your account. Enter your information and verify your identity.
Once your account is opened, you’ll need to complete your user profile and go through the knowledge quiz to activate your account. This process ensures you understand key risks and concepts for investing.
Step 2: Fund Your eToro Account
Before buying Tesla or any stocks, you’ll need to deposit money into your eToro account. eToro offers several convenient funding options:
- Debit/credit card
- Bank transfer
- e-wallet services like PayPal
Minimum deposit amounts vary by region. As a US user, your minimum first deposit is $50. Be sure to check the latest deposit fees and limits for your country.
Once your deposit completes, you’ll see the funds reflected in your eToro cash balance, ready to invest.
Step 3: Search for Tesla Stock
With cash in your account, it’s time to buy Tesla stock. You can easily find Tesla and other stocks in two ways:
Using the Search Bar
At the top of your eToro dashboard is a search bar. Type in “Tesla” or the ticker symbol “TSLA” and select the stock from the dropdown results.
Browsing Recent/Popular Investments
Or, scroll down on the eToro home page to see lists of recent and popular investments made by others on eToro. Look for Tesla under “Invest in Stocks.”
Step 4: Open Your Tesla Stock Position
After locating Tesla, click “Trade” next to the stock name. This will open an order ticket. Here, confirm that you are buying TSLA stock.
Next, enter the amount you want to invest in USD. For example, $500. eToro will automatically calculate how many Tesla shares you will buy at the current market price.
When ready, complete your order by clicking “Open Trade.” Your new TSLA position will now show in your eToro portfolio.
Step 5: Monitor and Manage Your Investment
Once your Tesla trade is open, you can sit back and monitor your investment daily, if desired. The eToro app makes it easy to check your portfolio on the go.
Over time, you may add to your position to lower your average entry price or take some profits. eToro allows easy portfolio management directly from your open positions.
For US users, taxes are only owed when you close a position and realize gains. Be sure to understand how taxes work with eToro in your country.
That covers the basics of how to buy Tesla or any stock on eToro in a few quick steps!
Tips for Investing in Tesla on eToro
Here are some useful tips for investing in Tesla or other stocks using your eToro account:
- Start small – invest an amount you’re comfortable with as you learn the platform. Dollar-cost average over time.
- Use stop losses and take profit orders to manage risk. This locks in gains or limits losses automatically.
- Copy other successful Tesla investors if you’re unsure. Leverage eToro’s social features.
- Utilize research tools like charts, financial ratios, and the News Feed to make informed decisions.
- Diversify across other stocks, ETFs, etc. Don’t put all your capital into one company.
- Learn to read earnings reports and sit in on quarterly earnings calls. Understand a company’s financials.
- Hold long-term for buy and hold strategies. Short-term trading is very risky without experience.
Following these tips will give you the best chance for investing success as you buy and hold Tesla stock or trade other companies on eToro.
Risks of Investing in Tesla
While investing in Tesla or any stock can be rewarding if done properly, it’s important to understand the risks:
- Stock prices can be volatile and fall. Your investment could lose value. Manage risk appropriately.
- Past performance does not guarantee future returns. Macroeconomic factors can impact any company.
- Concentrating too heavily on one stock amplifies risks. Diversification across multiple stocks is recommended.
- Trading stocks requires experience to be profitable. Beginners should take a buy-and-hold approach.
- Leveraged trading like CFDs on eToro multiplies potential gains but also losses. Use leverage only if you understand the risks.
- Commission-free brokers like eToro make money from bid-ask spreads. These indirect fees can reduce profit margins.
Even fundamentally sound investments carry risks. Educate yourself, start small, and diversify to invest in stocks as safely as possible.
Investing in Tesla stock provides exposure to a disruptive innovator and potential long-term growth as EVs gain market share. eToro offers an easy platform to buy and hold TSLA in just a few steps.
Simply open and fund an eToro account, search for Tesla stock, determine your investment amount, and open your position. Ongoing portfolio monitoring and risk management are recommended.
Understand the risks and utilize eToro’s social community and tools to make informed investment decisions. With the right education and preparation, buying Tesla stock can be a savvy portfolio move for the future of sustainable transport.
Q: Is Tesla stock a good long-term investment?
A: Many analysts think Tesla still has substantial growth potential in coming years as EVs gain market share. But investing in any individual stock has risks. Evaluate your investing time horizon and risk tolerance.
Q: Can I lose money investing in Tesla on eToro?
A: Yes, any stock investment can lose value. Manage your risk with tools like stop losses. Only invest money you are prepared to lose.
Q: Does eToro charge a commission to buy Tesla shares?
A: No, eToro does not charge commissions. However, like other commission-free brokers, they make money from the bid-ask spread on trades.
Q: Can I transfer my Tesla shares out of eToro?
A: Unfortunately, stocks purchased on eToro cannot be transferred to an external wallet or account. You can only close positions on eToro.
Q: Is eToro regulated and safe for buying Tesla?
A: Yes, eToro is regulated by top-tier authorities like the SEC and FCA. Your cash and investments have protections up to $1 million.