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Tesla (TSLA) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Tesla (TSLA - Free Report) closed at $714.84, marking a +1.6% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.31%. At the same time, the Dow added 0.05%, and the tech-heavy Nasdaq gained 0.14%.
Coming into today, shares of the electric car maker had lost 18.73% in the past month. In that same time, the Auto-Tires-Trucks sector lost 12.83%, while the S&P 500 lost 1.38%.
Wall Street will be looking for positivity from Tesla as it approaches its next earnings report date. In that report, analysts expect Tesla to post earnings of $2.13 per share. This would mark year-over-year growth of 46.9%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.59 billion, up 55.46% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $11.15 per share and revenue of $85.77 billion. These totals would mark changes of +64.45% and +59.36%, respectively, from last year.
Any recent changes to analyst estimates for Tesla should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.35% higher within the past month. Tesla currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Tesla has a Forward P/E ratio of 63.09 right now. Its industry sports an average Forward P/E of 11.11, so we one might conclude that Tesla is trading at a premium comparatively.
It is also worth noting that TSLA currently has a PEG ratio of 2.1. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Domestic industry currently had an average PEG ratio of 1.09 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Tesla (TSLA) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Tesla (TSLA - Free Report) closed at $714.84, marking a +1.6% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.31%. At the same time, the Dow added 0.05%, and the tech-heavy Nasdaq gained 0.14%.
Coming into today, shares of the electric car maker had lost 18.73% in the past month. In that same time, the Auto-Tires-Trucks sector lost 12.83%, while the S&P 500 lost 1.38%.
Wall Street will be looking for positivity from Tesla as it approaches its next earnings report date. In that report, analysts expect Tesla to post earnings of $2.13 per share. This would mark year-over-year growth of 46.9%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.59 billion, up 55.46% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $11.15 per share and revenue of $85.77 billion. These totals would mark changes of +64.45% and +59.36%, respectively, from last year.
Any recent changes to analyst estimates for Tesla should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.35% higher within the past month. Tesla currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Tesla has a Forward P/E ratio of 63.09 right now. Its industry sports an average Forward P/E of 11.11, so we one might conclude that Tesla is trading at a premium comparatively.
It is also worth noting that TSLA currently has a PEG ratio of 2.1. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Domestic industry currently had an average PEG ratio of 1.09 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.