Tesla (TSLA) closed the most recent trading day at $321.99, moving +1.78% from the previous trading session. The stock's change was more than the S&P 500's daily loss of 0.03%. Meanwhile, the Dow lost 0.11%, and the Nasdaq, a tech-heavy index, added 0.13%.
Heading into today, shares of the electric car maker had lost 7.99% over the past month, lagging the Auto-Tires-Trucks sector's loss of 7.75% and the S&P 500's gain of 0.6%.
Investors will be eagerly watching for the performance of Tesla in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.43, reflecting a 17.31% decrease from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $23.5 billion, showing a 7.84% drop compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.89 per share and revenue of $96.69 billion. These totals would mark changes of -21.9% and -1.03%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Tesla. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.78% higher within the past month. Currently, Tesla is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, Tesla is presently being traded at a Forward P/E ratio of 167.38. Its industry sports an average Forward P/E of 11.17, so one might conclude that Tesla is trading at a premium comparatively.
Investors should also note that TSLA has a PEG ratio of 8.8 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. TSLA's industry had an average PEG ratio of 1.12 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. Currently, this industry holds a Zacks Industry Rank of 178, positioning it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming 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 ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
