Tesla was the standout Mag Seven stock on Monday, advancing more than 8% as driverless cars get increasingly closer. On the day, a post from Elon Musk appeared to lift the stock, as he delivered positive updates for both of his main companies, Tesla and SpaceX:
- He posted on Monday that Tesla was rolling out a new version of its Full Self-Driving (FSD) driver-assistance hardware to Tesla owners with AI3 hardware.
- Musk also posted that SpaceX Grok 4.5 AI model was “perhaps” better than products from Anthropic and was of course being used by both Tesla and SpaceX.
From an investor’s perspective, it means that Tesla owners with AI3 hardware might be incentivised to buy FSD subscriptions for $99 a month. FSD is capable of doing most of the driving most of the time, but still requires human supervision all of the time.
- We can see Tesla embracing the SpaceX/AI chapter and testing the US$500 through 2026/7.
This calendar year so far has been one of the most polarised on the stock and sector level that we can remember. Despite the index only being up +1.25%, there are seven stocks in the ASX 200 up by more than +40%, and eight down by the same margin. In the winners’ enclosure, we’ve all heard about the strong performance from the likes of BHP Group (ASX: BHP), Megaport (ASX: MP1), and Lynas (ASX: LYC), but there have been some quiet achievers in 2026 whose performance may surprise some subscribers, e.g. Ramsay Health Care (+28%), James Hardie (+24%), and Telix (+44%).
- Sector rotation remains one of the market’s defining themes so far in 2026, with three sectors up more than 10% and two down by more than 15%.
This morning we’ve considered five stocks that have enjoyed the first six months of 2026, most importantly focusing on whether we think their outperformance will continue into Christmas – especially the two we own!
