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Tesla (TSLA) Stock Falls Amid Market Uptick: What Investors Need to Know
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Tesla (TSLA - Free Report) closed the most recent trading day at $237.01, moving -1.14% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.46%. On the other hand, the Dow registered a gain of 0.48%, and the technology-centric Nasdaq increased by 0.7%.
Prior to today's trading, shares of the electric car maker had gained 7.17% over the past month. This has lagged the Auto-Tires-Trucks sector's gain of 8.55% and outpaced the S&P 500's gain of 4.85% in that time.
The upcoming earnings release of Tesla will be of great interest to investors. The company's upcoming EPS is projected at $0.74, signifying a 37.82% drop compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $25.8 billion, up 6.09% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.17 per share and a revenue of $97.54 billion, indicating changes of -22.11% and +19.74%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Tesla. Such recent modifications usually signify the changing landscape of near-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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 2.7% lower. Currently, Tesla is carrying a Zacks Rank of #5 (Strong Sell).
With respect to valuation, Tesla is currently being traded at a Forward P/E ratio of 75.71. For comparison, its industry has an average Forward P/E of 9.94, which means Tesla is trading at a premium to the group.
It's also important to note that TSLA currently trades at a PEG ratio of 3.79. 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. Automotive - Domestic stocks are, on average, holding a PEG ratio of 1.38 based on yesterday's closing prices.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry, currently bearing a Zacks Industry Rank of 147, finds itself in the bottom 42% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Tesla (TSLA) Stock Falls Amid Market Uptick: What Investors Need to Know
Tesla (TSLA - Free Report) closed the most recent trading day at $237.01, moving -1.14% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.46%. On the other hand, the Dow registered a gain of 0.48%, and the technology-centric Nasdaq increased by 0.7%.
Prior to today's trading, shares of the electric car maker had gained 7.17% over the past month. This has lagged the Auto-Tires-Trucks sector's gain of 8.55% and outpaced the S&P 500's gain of 4.85% in that time.
The upcoming earnings release of Tesla will be of great interest to investors. The company's upcoming EPS is projected at $0.74, signifying a 37.82% drop compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $25.8 billion, up 6.09% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.17 per share and a revenue of $97.54 billion, indicating changes of -22.11% and +19.74%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Tesla. Such recent modifications usually signify the changing landscape of near-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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 2.7% lower. Currently, Tesla is carrying a Zacks Rank of #5 (Strong Sell).
With respect to valuation, Tesla is currently being traded at a Forward P/E ratio of 75.71. For comparison, its industry has an average Forward P/E of 9.94, which means Tesla is trading at a premium to the group.
It's also important to note that TSLA currently trades at a PEG ratio of 3.79. 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. Automotive - Domestic stocks are, on average, holding a PEG ratio of 1.38 based on yesterday's closing prices.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry, currently bearing a Zacks Industry Rank of 147, finds itself in the bottom 42% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.