We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Tesla (TSLA) Gains As Market Dips: What You Should Know
Read MoreHide Full Article
Tesla (TSLA - Free Report) closed at $157.67 in the latest trading session, marking a +0.55% move from the prior day. The stock outpaced the S&P 500's daily loss of 2.49%. At the same time, the Dow lost 2.25%, and the tech-heavy Nasdaq lost 0.25%.
Heading into today, shares of the electric car maker had lost 16.11% over the past month, lagging the Auto-Tires-Trucks sector's loss of 8.04% and the S&P 500's gain of 1.14% in that time.
Investors will be hoping for strength from Tesla as it approaches its next earnings release. The company is expected to report EPS of $1.20, up 41.18% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $25.45 billion, up 43.64% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.05 per share and revenue of $82.83 billion. These totals would mark changes of +79.2% and +53.9%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Tesla. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.37% lower. Tesla is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Tesla's current valuation metrics, including its Forward P/E ratio of 38.68. For comparison, its industry has an average Forward P/E of 12.36, which means Tesla is trading at a premium to the group.
Investors should also note that TSLA has a PEG ratio of 1.23 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Domestic industry currently had an average PEG ratio of 1.25 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 64, which puts it in the top 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Tesla (TSLA) Gains As Market Dips: What You Should Know
Tesla (TSLA - Free Report) closed at $157.67 in the latest trading session, marking a +0.55% move from the prior day. The stock outpaced the S&P 500's daily loss of 2.49%. At the same time, the Dow lost 2.25%, and the tech-heavy Nasdaq lost 0.25%.
Heading into today, shares of the electric car maker had lost 16.11% over the past month, lagging the Auto-Tires-Trucks sector's loss of 8.04% and the S&P 500's gain of 1.14% in that time.
Investors will be hoping for strength from Tesla as it approaches its next earnings release. The company is expected to report EPS of $1.20, up 41.18% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $25.45 billion, up 43.64% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.05 per share and revenue of $82.83 billion. These totals would mark changes of +79.2% and +53.9%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Tesla. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.37% lower. Tesla is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Tesla's current valuation metrics, including its Forward P/E ratio of 38.68. For comparison, its industry has an average Forward P/E of 12.36, which means Tesla is trading at a premium to the group.
Investors should also note that TSLA has a PEG ratio of 1.23 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Domestic industry currently had an average PEG ratio of 1.25 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 64, which puts it in the top 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.