Posted 3/4/2024, 2:39:05 PM
Tesla Soars but Questions Linger Over Lofty Valuation Versus Fundamentals
- Tesla has seen huge stock growth, but questions remain if valuation matches underlying company value
- Tesla produces attractive, high-performing electric vehicles profitably, unlike competitors
- Tesla plans major production capacity expansions, potentially reaching over 3 million vehicles by 2026
- Financial projections show continued strong profits and 40x+ P/E ratio supporting $500+ share price by 2029
- However, risks are high and lower multiples would mean significantly lower share prices; buyer around $150