Sorry for the lack of posts and inactivity, been quite busy with finals.
Was asked by someone to chart Tesla TSLA, so here she is, not much to say other than I'm a buyer at 520-540 price points, I personally do NOT believe Tesla is extremely overvalued but it's rather over extended. I believe a 500B market cap is justified based on growth, innovation, profit margins (increasing ofc), and just a few points I'd like to throw in:
(1) Revenue is growing faster than costs, this is due to economies of scale (within COGS the fixed portion in becoming cheaper)
(2) Tesla is passing the former benefits onto customers in the form of cheaper cars
(3) (bonus) I truly believe in Elon and Tesla as much much more than an EV car maker
After conducing an analysis and considering the nature of Tesla bulls I have a 2-year market cap target of 1T low end and 1.8T high end due to dominance in EV sales (combined with cheaper prices) AND battery/software innovation pegged to outperform any peer group. Some things to keep an eye on: organic growth, under-leverage, compounded dollar returns (i.e., ROA & ROE), and economies of scale.
Was asked by someone to chart Tesla TSLA, so here she is, not much to say other than I'm a buyer at 520-540 price points, I personally do NOT believe Tesla is extremely overvalued but it's rather over extended. I believe a 500B market cap is justified based on growth, innovation, profit margins (increasing ofc), and just a few points I'd like to throw in:
(1) Revenue is growing faster than costs, this is due to economies of scale (within COGS the fixed portion in becoming cheaper)
(2) Tesla is passing the former benefits onto customers in the form of cheaper cars
(3) (bonus) I truly believe in Elon and Tesla as much much more than an EV car maker
After conducing an analysis and considering the nature of Tesla bulls I have a 2-year market cap target of 1T low end and 1.8T high end due to dominance in EV sales (combined with cheaper prices) AND battery/software innovation pegged to outperform any peer group. Some things to keep an eye on: organic growth, under-leverage, compounded dollar returns (i.e., ROA & ROE), and economies of scale.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.