Is Tesla a Meme Stock or Value Investing Pick?

Tiger_comments
11-14
Reward Tiger-CoinsReward 500 Tiger-coins

After Trump's election victory, $Tesla Motors(TSLA)$ has surged by 31%, with its market cap soaring by $250 billion.

This astounding increase has prompted some Wall Street analysts to issue warnings, as Tesla's current stock price is now 28% higher than the average target price set by analysts, marking the highest level since the tech stock boom post-2021 pandemic.

Is Tesla becoming a meme stock?

In the short term, Tesla's rapid rise seems completely disconnected from its fundamentals, fueled instead by the market's enthusiasm for Musk's political gambit.

The post-election rally, coupled with better-than-expected third-quarter earnings, has further boosted Tesla's already high valuation. Tesla's price-to-earnings ratio is a staggering 90 x, far higher than the median for traditional automakers and the "Mag 7" average of 32x.

Analysts have widely varying target prices for Tesla due to ongoing debates about whether Tesla should be viewed as a car company, a tech company, or a personal brand for Musk. Musk's influence has now become pivotal.

Is Tesla's value driven by Musk's charisma?

Some of Trump's potential policies could benefit Tesla.

A Trump presidency could mean reduced regulation, especially for Tesla's Robotaxi project, which could help speed up state approvals, along with support for Tesla’s humanoid robot technology under development.

Although Trump previously imposed high import tariffs on cars, Tesla, as a US company, may not be significantly affected. Instead, Trump’s policies could favor Tesla's growth in the U.S. market.


What do you think of Tesla: meme stock or value investment?

Leave your comments and also post to win tiger coins~

FSD Support! Will Tesla Restart Uptrend to $400?
Tesla jumps 5% as President-elect Donald Trump's transitionteam plans to make a federal framework forfully self-driving vehicles a priority, benefiting Elon Musk and his bet on self-driving technology. --------------- At what price would you add Tesla? Would Tesla hit $400 this week?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Reward 500 Tiger-coinsDeadline to 12/05 15:29
The originator will select the best recovery and allocate Tiger coins before the reward ends
Reward-post

Comments

  • Cadi Poon
    11-14
    Cadi Poon
    Win 10 Tiger-coins
    特朗普的一些潛在政策可能有利於特斯拉。

    特朗普當選總統可能意味着減少監管，尤其是對於特斯拉的機器人出租車該項目可以幫助加快國家審批，並支持特斯拉的人形機器人機器人正在開發的技術。

    雖然此前Trump對汽車徵收高額進口關稅，但作爲美國企業的特斯拉可能不會受到明顯影響。相反，特朗普的政策可能有利於特斯拉在美國市場的增長。

  • Wanaike
    11-14
    Wanaike
    Win 5 Tiger-coins
    一句话 水满则溢，月满则亏
  • Shyon
    11-14
    Shyon
    Win 30 Tiger-coins
    I believe $Tesla Motors(TSLA)$ is more of a value investment than a meme stock. While there’s a lot of hype, the company’s long-term fundamentals are strong, especially its leadership in EV & clean energy. Tesla’s ability to scale production, its Gigafactories, and its expansion into energy storage and solar solutions set it apart from traditional automakers.

    Musk's influence is key, but it's his ability to execute on innovative technologies like self-driving cars and energy products that makes Tesla unique. The high P/E ratio reflects investors betting on future growth, not just current profits. While the stock price may seem high, Tesla’s growth potential in EVs, renewable energy, and AI justifies its valuation over time.

    Additionally, potential policies under a Trump presidency, like reduced regulation, could speed up Tesla's projects like Robotaxi and benefit its U.S. growth.

    @Tiger_comments @TigerStars @TigerGPT @Meme_Tiger

    • Shyon: 
      Come and join yo @koolgal @rL @icycrystal @b1uesky @Universe宇宙 @Barcode @nomadic_m @GoodLife99 @Fenger1188
    • TigerGPT: 

      As a professional financial analyst, I have analyzed Tesla Motors (TSLA) based on various dimensions. Here are the key findings:

      Business and Industry: Tesla is a leading company in the electric vehicle (EV) and clean energy industry. Its ability to scale production, presence of Gigafactories, and expansion into energy storage and solar solutions differentiates it from traditional automakers.

        

      Earnings and Forecast: The forecasted earnings for Tesla in the fiscal year 2024 are $2.48 per share, with an estimated gross income of $99.74 billion and an estimated EBIT of $8.22 billion. The earnings forecast for the fiscal year 2025 and 2026 shows an expected growth in EPS, gross income, and EBIT.

        

      Analyst Recommendations: According to analysts, 8 recommend Tesla, 15 have a buy rating, 19 suggest holding, 8 rate it as underperform, and 4 recommend selling.

        

      Target Price: The mean target price estimated by analysts is $224.23, with a low estimate of $24.86 and a high estimate of $400.00.

        

      Capital Flow: In the past five days, there has been a mix of inflow and outflow of capital in Tesla's stock. For example, on November 6th, there was a significant outflow of $480.06 million, while on November 12th, there was a smaller inflow of $29.18 million.

        

      Profitability Ratio: As of November 13th, Tesla's profit ratio was 0.8751, indicating a positive profitability trend.

        

      Support and Resistance Price: The support price for Tesla's stock on November 13th was $214.48, while the resistance price was $336.48.

        

      Recent Earnings Results: In the third quarter of 2024, Tesla reported an EPS of $0.68, a return on equity (ROE) of 12.71%, and a gross profit margin of 19.84%. Other financial indicators, such as quick ratio, current ratio, and net profit margin, were also analyzed.

        

      Stock Price: As of November 14th, Tesla's stock price was $330.24.

        

      Considering the above analysis, Tesla demonstrates both value investment potential and characteristics of a high-growth stock. Its strong fundamentals in the EV and clean energy sector, along with its innovative technologies and leadership position, justify its valuation over time. However, it's important to note that investing in the stock market involves inherent risks, and investors should make independent decisions based on their own assessments.

      Disclaimer: The above analysis and information should not be considered as investment advice. Investors should conduct their own research and consult with a financial advisor before making investment decisions.

  • SG 88
    11-14
    SG 88
    Win 20 Tiger-coins
    Honestly, Tesla would have some ways to create value whether its from new product innovation, core competitive to a more vocal political "influencing" party [Happy].
    No matter what would there be, it's surely part of more than MEME stocks that would definitely be a trend to be reckon with
  • 1PC
    11-14
    1PC
    Win 5 Tiger-coins
    I will put Tesla as a Long Term Value and Short Term Meme [Chuckle] [Chuckle] [Chuckle] [Chuckle].. lets make quick Cash 😜 1st while Tesla is HOT 🔥 [Chuckle] [Chuckle]
  • MasterStonker
    11-14
    MasterStonker
    Win 5 Tiger-coins
    I think MSTR $MicroStrategy(MSTR)$ is a value pick ya 🚀🚀🚀🚀🚀🌙🌙🌙🌙🌙🌙🌙🤑🤑🤑🤑🤑🤑🤑
Leave a comment
23
15