Tesla (TSLA) ended the most recent trading day at $168.38, representing +1.05% change from the previous close. This move outpaced the S&P 500’s daily gain of 0.11%. At the same time, the Dow Jones Industrial Average fell 0.11%, and the tech-heavy Nasdaq rose 0.23%.
Shares of the electric vehicle maker have fallen 7.81% over the past month, lagging the Auto Tires & Trucks sector’s 6.8% decline and the S&P 500’s 1.5% rise.
The investment community will be closely monitoring Tesla’s performance in its upcoming earnings report. The company plans to announce its financial results on April 23, 2024. The company’s EPS is expected to be $0.61, representing a year-over-year decline of 28.24%. Our latest consensus estimate is calling for quarterly revenue of $24.63 billion, up 5.57% from the year-ago period.
For the full fiscal year, our Zacks Consensus Estimates are projecting earnings of $3.00 per share and revenue of $109.92 billion, which would represent changes of -3.85% and +13.59%, respectively, from the prior year. .
Additionally, investors should note recent revisions to analyst estimates for Tesla. Recent revisions tend to reflect the latest short-term business trends. As a result, the positive estimate changes indicate that analysts have a favorable outlook on the health and profitability of the company’s business.
Our research suggests that these estimate changes have a direct relationship with future stock performance. To benefit from this, we have created the Zacks Rank, a proprietary model that incorporates these estimate changes to provide an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), has a remarkable, third-party-audited track record of outperformance, with #1 rated stocks having an average annual Generates a return of +25%. Over the past month, the Zacks Consensus EPS estimate has moved 6.75% lower. Tesla currently carries a Zacks Rank #5 (Strong Sell).
From a valuation perspective, Tesla is currently trading at a Forward P/E ratio of 55.64. This represents a premium compared to its industry’s estimated P/E of 14.92.
It is also important to note that TSLA is currently trading with a PEG ratio of 2.49. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. As of yesterday’s close, TSLA’s industry had an average PEG ratio of 1.89.
The Automobiles – Domestic industry is part of the Automotive Tires – Trucks sector. This industry currently has a Zacks Industry Rank of 96, putting it in the top 39% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank. The Zacks Industry Rank is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% of industries outperform the bottom half by a factor of 2 to 1.
Don’t forget to track all of these stock price movement metrics and more with Zacks.com in the coming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today you can download 7 Best Stocks for the Next 30 Days.Click to get this free report
Tesla, Inc. (TSLA): Free Stock Analysis Report
Click here to read this article on Zacks.com.
Zacks Investment Research
