Tesla Inc. designs, develops, manufactures, and sells electric vehicles, electric vehicle powertrain components, and stationary energy storage systems in the United States, China, Norway, and internationally. The company was founded in 2003 and is based in Palo Alto, California.
TSLA Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for TSLA, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Tesla Inc ranked in the 0th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. As for the metrics that stood out in our discounted cash flow analysis of Tesla Inc, consider:
The company's balance sheet shows it gets 97% of its capital from equity, and 3% of its capital from debt. Notably, its equity weight is greater than 94.09% of US equities in the Consumer Cyclical sector yielding a positive free cash flow.
The company's compound free cash flow growth rate over the past 1 years comes in at -0.41%; that's greater than merely 2.71% of US stocks we're applying DCF forecasting to.
The business' balance sheet suggests that 3% of the company's capital is sourced from debt; this is greater than only 11.21% of the free cash flow producing stocks we're observing.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
DJCO, EEX, FOSL, GCI, and KFS can be thought of as valuation peers to TSLA, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
Wedbush Securities is out with a late forecast on Tesla (TSLA) Q3 deliveries.Ives says deliveries are "likely" in the +140K range vs. 136K consensus estimate (121K Model 3/Y)."The clear standout this quarter yet again is the massive underlying demand coming out of China as we have seen demand surge in...
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Warren Ludford on Seeking Alpha | September 30, 2020
UK investors have been piling into Tesla shares recently. Edward Sheldon, CFA believes there are better growth stocks to buy right now. The post Forget Tesla shares. I’d buy these US and UK growth stocks appeared first on The Motley Fool UK .