Altimeter Capital Chair and CEO Brad Gerstner revealed a new position in Tesla Thursday, betting on the industry leader amidst the global trend of electrification. The widely followed tech investor told CNBC’s Scott Wapne r in an interview that he built a new stake in the EV maker in the last two months. “The world in moving now wholesale … both for geopolitical realities and for energy realities in the direction of electrification,” Gerstner said on CNBC’s “Halftime Report.” “We are only 8% penetration globally of electric cars.” The EV market is going to expand 30% to 40% over the next five to 10 years, aided by initiatives from global governments, the investor said. “When you look at Tesla, they have 30% margins. Their competitors are running 10% at best. I think they have a compounding advantage in the world,” Gerstner said. Shares of Tesla are down more than 13% this year, following a 50% rise last year and a whopping 740% rally in 2020. On the overall macro environment, Gerstner believes that the risk has shifted to the Federal Reserve “over-tightening.” The tech investor joined other high-profile investors like Jeffrey Gundlach and Cathie Wood in warning that the central bank could slow down the economy too much by jumbo rate increases.
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