Tesla stock was once on a huge upswing, gaining momentum almost every single day and routinely zooming past $200 per share.
Lately, it’s been sputtering on exhaust, losing 22 percent of its value since shares peaked at $265 in February.
If you’re looking at it from a “glass is half full” perspective, the stock is still up 37 percent year to date. As Tesla began its Chinese conquest this week, shares closed Monday at $204.38 per share.
Not too shabby.
Still market gurus don’t know whether its stock should be traded or invested. Is Tesla super techy like Google or Apple, or should it be compared to other automotive behemoths like Ford and General Motors? The green super car with its super sexy technical prowess could honestly go either way.
The future of the high-end electric car is a question mark for even the most dogged analyst. Consider this: of 16 analysts that cover the stock, eight consider Tesla a “hold,” five give it a positive rating and three think Tesla stock should be sold.
Auerbach Grayson chief market technician Rich Ross calls Tesla a “falling knife,” saying the stock is in danger of hitting $150 per share, which is 25 percent lower than current value.
Only time will tell which way the pendulum ultimately swing for billionaire Elon Musk’s little electric car that could, but we think Tesla can be like Apple and Ford. Why not? It offers a little something for everyone. Both high-tech and a superior superior automobile, Tesla can be anything.
Source: TheStreet.com
