why is tesla stock so high compared to other companies

That said we value Tesla stock at just about 560 per share a discount of almost 30 versus the current market price due to mounting competition in the EV space from. Tesla trades for more than 1000 times historic earnings and 161 times estimated.

Is Tesla Stock Overvalued The Motley Fool

Tesla is expected to take advantage of its leading role in the electric vehicle industry and boost output in 2020 and beyond given previous production delays parts shortages labor cost.

. In Europe tesla doesnt have the biggest market share anymore Volkswagen. Higher rates hurt richly valued growth stocks such as Tesla more than others because the bulk of those companies profits are expected to roll in years from. Tesla stock price is high simply because they have a less shares outstanding.

His enthusiastic followers keep driving up the price of the stock despite Tesla lagging in scale behind other automaker Lithium is a key component of not just Tesla cars but all electric cars. Its actually a tech company so it should be evaluated against other tech. Why is tesla stock so high.

These 2 companies are almost exactly the same size but Tesla stock is at 310 today while GM is at 36. So for a company that has reported losses of nearly 45 billion dollars over. It has a price-to-earnings ratio PE of 1200 meaning that for every one dollar of earnings Tesla enjoys 1200 of market cap.

Teslas share price doesnt matter so much when you put the above in perspective. Teslas valuation has soared well past other automakers even those which produce millions more cars each year causing Morgan Stanley to take a look at whether Elon Musks. Initiatives for an Aggressive Price Policy.

The first reason is simply that Teslas are expensive and high-end luxury cars always cost more to insure than budget-friendly vehicles. These 2 companies are almost exactly the same size but. Tesla is forecast to earn 6 billion next year a fifth as much as Amazon and nearly a twentieth of Apple.

The total market cap for Tesla is 52B and 51B for GM. Another common argument from Tesla bulls is that Tesla isnt just any old automaker. The first reason is simply that Teslas are expensive and high-end luxury cars always cost more to insure than budget-friendly vehicles.

Teslas ability to drive environment consciousness by lowering CO2 emissions from. Its a bet that shareholders are making that. For comparison Fords PE is 2274 while General.

The stock of Tesla is so high because of the following factors. Why is Tesla stock so high. Tesla Vehicles Are Expensive.

Its sales and earnings are far lower than others. Giving it to the shareholders as a dividend will likely push your stock valuation up - but Teslas stock is already crazy high because shareholders LOVE a company thats in aggressive growth. Most other car companies will increase their production of EV and Tesla will lose a lot of its market share.

The debate over Teslas. Tesla Stock Value Forecast Worth Trillions By 2030 Tesla Stock Can Jump Another 50 Thanks To Superior Growth In The Years Ahead Analysts Say Tesla S Market Cap Is Now. Teslas New Berlin Gigafactory Opened.

Using PE ratio Tesla is dramatically more expensive than other car makers like GM and Ford.

Tesla Overvalued By 85 26 And Not A Technology Company Nasdaq Tsla Seeking Alpha