Contrarius Global Equity Fund Believes Tesla (TSLA) Remains an Extremely Undervalued Stock

21 hours ago 1

Soumya Eswaran

Tue, December 30, 2025 astatine 6:43 AM CST 3 min read

Contrarius Investment Management, an concern absorption company, released its third-quarter capitalist missive for the “Contrarius Global Equity Fund”. A transcript of the missive tin beryllium downloaded here. The fund’s capitalist people returned 30.9% successful the September 4th compared to 7.3% for the benchmark MSCI World Index, including reinvested nett income, and 5.5% for the Average Global Equity Fund. The fund’s concern doctrine is autarkic of benchmark considerations, truthful the portfolios typically deviate from the benchmark World Index. Additionally, delight reappraisal the fund’s apical 5 holdings to spot its starring picks successful 2025.

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In its third-quarter 2025 capitalist letter, Contrarius Global Equity Fund highlighted stocks specified arsenic Tesla, Inc. (NASDAQ:TSLA). Tesla, Inc. (NASDAQ:TSLA) designs, develops, manufactures, leases, and sells electrical vehicles, arsenic good arsenic vigor procreation and retention systems. The one-month instrumentality of Tesla, Inc. (NASDAQ:TSLA) was 7.08%, and its shares gained 13.82% of their worth implicit the past 52 weeks. On December 29, 2025, Tesla, Inc. (NASDAQ:TSLA) banal closed astatine $459.64 per share, with a marketplace capitalization of $1.529 trillion.

Contrarius Global Equity Fund stated the pursuing regarding Tesla, Inc. (NASDAQ:TSLA) successful its 3rd 4th 2025 capitalist letter:

"Importantly, portion determination has been immoderate rotation wrong the Fund, definite of the Fund’s holdings that person rerated are inactive regarded arsenic highly attractive. Our apical 3 positions astatine 30 September—Tesla, Inc. (NASDAQ:TSLA), Warner Bros. Discovery and Paramount Skydance (Paramount)—have been amongst our largest holdings for immoderate time. All 3 person been ample contributors to show implicit the past year. In presumption of Tesla, fixed Fund limits and interior hazard limits for our Global Equity Strategy, the Fund has reduced its Tesla holding astatine assorted points erstwhile it has exceeded 10% of Fund done marketplace worth movements. Despite Tesla’s outperformance we judge that the marketplace is lone opening to recognise the tremendous accidental that Tesla has successful real-world AI (autonomous driving and humanoid robots). We discussed this extensively successful our Q2 2024 Quarterly Commentary. We proceed to judge Tesla remains highly undervalued. It is precise apt that Tesla volition stay 1 of the Fund’s largest holdings for immoderate time—barring a genuinely melodramatic summation successful price."

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