Tesla Inc Stock Analysis, Valuation (NASDAQ:TSLA)
Tesla Inc Stock Analysis
Tesla’s revenue has constantly climbed higher as the company is putting all its efforts to expand its topline. This has led to the creation of massive infrastructure causing Amazon’s assets to balloon. Tesla’s stock analysis highlights the contradiction in the exponential growth of its topline and its non-existent bottom line. After the years of operations many investors had started questioning if the zero profit business model of the company will allow it to survive in this heavily contested arena in the future.
Tesla Inc Stock Rating 2.8/5
Our Tesla Inc stock opinion is based on fundamentals of the company. This Tesla Inc stock analysis is based on latest 2017 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you sell TSLA stock?
- Tesla Inc is debt laden and has a high debt/equity ratio of 1.28.
- The company has negative Free Cash Flows (FCF), with a negative FCF margin of -41.6%.
- Tesla Inc has a negative FCF (Free Cash Flow) yield of -5.65%.
Tesla’s price trend has reflected this debate which has led to stagnation and volatility in Tesla stock price. Tesla stock price history shows that the stock has performed much better than its competitors since its listing. The company has managed to grow its revenues at fast pace. Tesla’s financial analysis also shows a lot of room for cost cutting, which should help the company to boost its profits.
Tesla PE ratio chart is non existent because of lack of profits. However, Tesla is making strong progress towards achieving profitability. The company has released new models which will help in continuing the strong revenue growth and achieving profitability. The increasing awareness about global warming and climate change will also help in driving demand for Tesla's electric cars.