Is Tesla a Meme Stock or Value Investing Pick?

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?

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Cadi Poon
·11-14
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。
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Wanaike
·11-14
一句话水满则溢，月满则亏
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Shyon
·11-14
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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
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- Shyon:
  Come and join yo @koolgal @rL @icycrystal @b1uesky @Universe宇宙 @Barcode @nomadic_m @GoodLife99 @Fenger1188
  11-14
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- 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.
  11-14
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SG 88
·11-14
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
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1PC
·11-14
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]
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MasterStonker
·11-14
I think MSTR $MicroStrategy(MSTR)$ is a value pick ya 🚀🚀🚀🚀🚀🌙🌙🌙🌙🌙🌙🌙🤑🤑🤑🤑🤑🤑🤑
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WanEH
·11-14
last time Tesla is value investment, now it has become meme
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PSG2010
·11-14
Tesla's charm is undeniable, but those fundamentals look shaky.
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icycrystal
·11-14
TOP
perhaps it's both. volatile yet there's value to its product...

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

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.

@Universe宇宙 @Shyon @Aqa @LMSunshine @koolgal @GoodLife99 @rL @HelenJanet @SPACE ROCKET @TigerGPT

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

Leave your comments and also post to win tiger coins~
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- icycrystalReplying toShyon:
  [Like] [Like] [Like]
  11-14
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- Shyon:
  Thanks for sharing
  11-14
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- TigerGPT:
  As an AI financial analyst, I can provide an objective analysis of Tesla as a stock investment.
  Tesla has indeed experienced significant volatility in its stock price, which has led some to classify it as a "meme stock." Meme stocks are characterized by high levels of speculation and trading activity driven by online communities and social media trends, rather than traditional market fundamentals.
  However, it is also important to consider the underlying value of Tesla's products and the potential for long-term growth. Tesla is a leading electric vehicle (EV) manufacturer and has made significant advancements in EV technology. The company has a strong brand presence, a growing customer base, and a robust global infrastructure of charging stations.
  Furthermore, Tesla's CEO, Elon Musk, has played a significant role in shaping market sentiment towards the company. His visionary approach and strategic initiatives have attracted investors and contributed to Tesla's market enthusiasm.
  When it comes to valuation, there is ongoing debate among analysts due to the unique characteristics of Tesla and the uncertainties surrounding the EV industry. This can lead to varying target prices and differing opinions on the stock's intrinsic value.
  In terms of Trump's policies, while there were high import tariffs on cars in the past, it is worth noting that the political landscape can change, affecting market conditions. It is always prudent to monitor any potential policy shifts and their impact on companies like Tesla.
  In conclusion, Tesla's stock can be viewed as a combination of both a meme stock and a value investment. While short-term volatility and market enthusiasm may fuel speculation, the company's innovative products and potential for growth in the EV market provide substance for long-term value. Investors should carefully consider their risk tolerance and investment goals when evaluating Tesla as an investment opportunity.
  (Note: This response is for informational purposes only and should not be construed as investment advice. Investing in stocks involves risks, and individuals should conduct thorough research and/or consult with a financial advisor before making any investment decisions.)
  11-14
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TimothyX
·11-14
從短期來看，特斯拉的快速崛起似乎與其基本面完全脫節，而是受到市場對馬斯克政治策略的熱情推動。

大選後的反彈，加上好於預期的第三季度盈利，進一步提振了特斯拉已經高估值.特斯拉的市盈率高達驚人的90倍，遠高於傳統汽車製造商的中位數和“Mag 7”32倍的平均值。
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MHh
·11-14
I won’t consider it a value investment its valuation is now high. I don’t think it’s future sales or growth justify this valuation. Tariffs might reduce the import of EVs but there is also a risk of retaliation where other countries would also try to inhibit the sales of Tesla in their countries.

I wouldn’t consider it as a meme as well. The rapid rise of price mainly reflects the market’s optimism with Trump as the new president and potential benefits that it would bring to Tesla.
@Universe宇宙 @Fenger1188 @HelenJanet @SPOT_ON @rL @Kaixiang @DiAngel @Success88 @SR050321 @Wayneqq come join
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ECLC
·11-15
Seems a meme stock with high volatility. Potential long term value investment.
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Kiwi Tigress
·11-15
A value investment with a huge upside!
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Mrzorro
·11-15
$Tesla Motors(TSLA)$ no doubt is a value investment rather than meme stock. Elon Musk's business empire is expanding. With Trump 2.0, it is going to be 🚀🚀🚀🚀 for him.
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Success88
·11-15
I think Tesla is a value pick. Elon Musk did a lot of thing in his career. He always dream big and almost successful what he had think. So Tesla is still a good value stock to invest
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北极篂
·11-15
我认为特斯拉既具备模因股票的特质，也有一定的价值投资潜力。从模因股票的角度来看，特斯拉的股价波动受到了投资者情绪、社交媒体热议和短期市场炒作的影响。特斯拉的CEO埃隆·马斯克频繁活跃于社交媒体，使得特斯拉成为了话题中心，吸引了大量短期投机者。此外，市场上的空头和多头之争也放大了特斯拉的股价波动性，进一步增强了其作为模因股票的特性。

然而，从长期价值投资的角度来看，特斯拉的商业模式和创新能力也使其具备一定的内在价值。特斯拉不仅是电动汽车领域的领导者，而且在自动驾驶、电池技术以及能源存储等方面具备强大的技术储备。这些长期的竞争优势为特斯拉提供了持续的增长动力。因此，从基本面出发，特斯拉仍然是具有增长潜力的公司，尤其是在全球加速向新能源转型的背景下。

结论上，特斯拉在短期内可能会受到模因股票特质的影响，但其长期发展潜力使其具备价值投资的特性。对于投资者来说，如何看待特斯拉取决于他们的投资策略和风险承受能力。如果追求短期收益，特斯拉的波动性可能带来机会；而从长期投资角度，特斯拉的技术优势和行业前景则值得关注。[害羞]
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nomadic_m
·16:16
Tesla can be seen as both a meme stock and a value investment, perspectives matters:

1. Short-term traders may view Tesla as a meme stock, leveraging its volatility for quick gains.
2. Long-term investors may focus on Tesla's fundamental value, growth potential, and industry leadership.
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Aqa
·11-17 22:06
$Tesla Motors(TSLA)$ Tesla's value is largely driven by Elon Musk's charisma and smoke. In addition , with Musk entering politics now, Tesla is officially confirmed a meme stock. Thanks @Tiger_comments @icycrystal
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