Tesla is on track for its biggest gain in nearly a month after Elon Musk and the SEC reach an agreement (TSLA)

David McNew/AFP/Getty Images

Tesla jumped as much as 3.8% on Monday after the CEO Elon Musk reached an agreement with the Securities and Exchange Commission.
Shares were on track for their best one-day performance since April 1.
The stock ended Friday’s session at its lowest level in more than two years after breaking below key support earlier in the week.
Watch Tesla trade live.

Tesla shareholders found some reprieve on Monday after a dismal week.

The electric-car maker’s stock jumped more than 3%, placing it on track for its best one-day performance since April 1, when it gained 3.33%. At session highs, Tesla was up 3.8%.

The gains came after a brutal week for the stock, culminating in an after-hours announcement on Friday that said CEO Elon Musk and the Securities and Exchange Commission had reached an agreement over his behavior on social media.

On Thursday, Tesla shares cracked below $250 apiece after the company reported a larger-than-expected first-quarter loss. The stock’s move below $250 was interpreted negatively as that level has proven to be reliable support over the last two years. Indeed, it gave way to more selling on Friday, which pushed shares to a more than two-year low of $231.13.

"More negatives than positives in Q1 as Tesla swings back to a sizable loss & FCF burn, putting greater emphasis on the need to bolster balance sheet cushion, in our view," Citi analyst Itay Michaeli wrote in a note to clients on Wednesday.

Tesla was down 27% this year through Monday.

Read more Tesla coverage from Markets Insider and Business Insider:

Tesla posts huge loss, says deliveries are still on track despite ‘aggressive schedule’

Tesla just closed at its lowest level in 2 years, breaking below a key price

Elon Musk loves to make grandiose promises. Here are 8 he failed to deliver on.

Markets Insider

NOW WATCH: The rise and fall of Donald Trump’s $365 million airline