Tesla Stock Price Analysis:
Today RBC Royalbank cut the Tesla stock price target to $225 from $325 and maintained the “Outperform” rating on the electric automaker.
The average 12-month analyst target price for Tesla Inc. (TSLA:NSD) is USD 309.29, according to 32 analysts’ predictions for the company’s shares. The average analyst rating for Tesla Inc. is Buy.
Tesla Inc.’s stock analysis by Stock Target Advisor is Slightly Bullish and is based on 10 positive and 6 negative signals. Tesla stock price was US$156.80 at the most recent close.
The share price of Tesla Inc. changed by -9.91% over the previous week, -17.88% over the previous month, and -50.92% over the previous year.
Tesla Stock News:
Elon Musk, the CEO of Tesla, reported an additional $3.6 billion in stock sales on Wednesday, bringing his year-to-date total to close to $40 billion and angering investors as the company’s shares slump to two-year lows.
The most recent sale of around 22 million shares this week happened at the same time that Musk lost his top ranking on the Bloomberg Billionaires Index, which he had held since September of last year. The market value of Tesla fell below $500 billion for the first time since November 2020.
Tesla Stock Price-Fundamental Analysis:
Positive Fundamentals:
High market capitalization:
This organization is among the top quartile and is one of the biggest in its industry. These businesses are typically more reliable.
Superior returns on risk:
In the top quartile, this stock has outperformed its sector rivals on a risk-adjusted basis over the course of at least a 12-month holding period.
Excellent return on equity:
The management of the company has outperformed its competitors in terms of return on equity over the last four quarters, ranking it in the top quartile.
Superior capital efficiency:
In the last four quarters, firm management outperformed its counterparts in terms of return on invested capital, putting it in the top quartile.
Excellent return on assets:
The management of the company has outperformed its counterparts in terms of return on assets over the last four quarters, putting it in the top quartile.
A healthy cash flow:
The last four quarters saw positive total cash flow for the organization.
A favorable free cash flow:
The last four quarters saw the company generate positive total free cash flow.
Superior growth in earnings:
In the preceding five years, this stock’s profits growth was in the top quartile for its industry.
Superior growth in revenue:
Compared to its industry, this stock’s revenue growth over the previous five years has been in the top quartile.
High Asset to Gross Profit Ratio:
This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. Value investors choose this metric because it exhibits superior long-term returns.
Negative fundamentals:
Excessive volatility:
Over the past five years, this company’s total returns have been erratic and higher than the industry average. If you plan to invest in such a stock, be sure your risk tolerance is adequate.
Excessive in comparison to wages:
Tesla stock price is trading above the sector median and at a premium to its peers in terms of price to earnings.
Compared to book value, it is overpriced:
On a price-to-book value basis, the stock is selling at a premium to the median of its peer group.
Overpriced based on cash flow:
On a price-to-cash flow ratio, the stock is trading at a premium to that of its competitors. Its pricing is higher than the sector median. Whenever you are thinking about buying, go with prudence.
Extremely leveraged:
In terms of debt to equity, the company is heavily leveraged and in the bottom half of its sector rivals. Check the news, though, and study the sector and management remarks. This can be high at times since the business is attempting to grow quickly.
Priced excessively based on free cash flow:
On a price-to-free cash flow basis, the stock is trading at a premium to that of its competitors. Its pricing is higher than the sector median. Whenever you are thinking about buying, go with prudence.
Conclusion:
Our view of Tesla stock price analysis is Slightly Bullish with a score of 6.3 out of 10, where 0 is very bearish and 10 very bullish.
