At its core, the entire Tesla stock market valuation revolves around two things-the intrinsic value of TSLA and the company’s outlook for the future. While many Analysts have written off the company on the basis that it has no future, that line of reasoning misses the important point entirely.
While we recognize that TSLA trades favorably given current expectations, the same cannot be said for its competitors. In fact, even in the current market, many of today’s top companies are valued much more highly than they were a year ago thanks to significant acquisitions and strategic business moves.
If you want to get big profits from your Tesla stock purchase, you need to start building a strategy that involves taking an analytical look at the company’s strengths as well as its weaknesses. TSLA’s core technology is truly a technology-based company, then it must be treated as such.
While Tesla has had some issues in the past, including some serious financial issues that could have a negative impact on Tesla stock price, the company recently received positive buzz when it was able to seal a deal to purchase Solar Ridge, a leader in solar energy technology. The acquisition is likely to boost sales and profit growth, which will help drive up the stock price.
Staying on top of what’s happening in the tech industry is absolutely critical if you want to realize large gains from your own Tesla stock purchase. On a related note, keep track of investor perceptions of Apple, Google, Microsoft, Yahoo, Facebook, and Amazon, as well.
The underlying question with regard to a long-term investment in TSLA is whether or not the carmaker has room to increase its sales until its long-term goal of $20 billion is reached. Historically, very few companies reach that mark, and only a handful of them had been able to achieve it over the past decade. In terms of revenue and market share, however, Tesla has been rather consistent.
If it can manage to maintain its current revenue and market share gains as it expands into new markets (which it is doing through partnerships), then the carmaker has the potential to achieve huge returns. A fundamental analysis of the business will note that no other carmaker in the auto industry has the potential to achieve such lofty goals, even though Toyota and Honda have been expanding their car lines for many years.
If you are a long-term investor looking for a high-risk vehicle with a positive return, then you should think about buying a short position in the stock. A negative analyst rating for Tesla could cause the price to drop, but that would only be a short-term problem. You can get more information like income statement at https://www.webull.com/income-statement/nasdaq-tsla.
Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.