The pullback in the electric automaker's shares is likely primarily due to more bearishness in the overall market. Growth stocks like Tesla are getting hit particularly hard.
Full Answer
Why did Tesla stock go up so much?
Feb 09, 2022 · The reasons are many including Tesla's recent problems involving crashes on autopilot, quality control issues including seat belt recalls, phantom braking, expansive PE ratio of almost 300, and ...
Will Tesla stock keep falling?
Jan 24, 2022 · Why Is Tesla Falling? While other EV makers are not profitable and still getting their bearings in the market, Tesla is a veteran. Its share price …
When will Tesla stock drop?
Mar 25, 2022 · Why Tesla Stock Was Crushing the Market This Week. ... Find out why Tesla is one of the 10 best stocks to buy now. ... A Used Car Market Crash Is Coming: ...
Will the Tesla share price continue to rise?
Jul 24, 2020 · Tesla Stock Is Crashing – And the ‘Dumb Money’ Is Buying the Dip; Headlines Opinion Tesla Stock Is Crashing – And the ‘Dumb Money’ Is Buying the Dip. Retail investors are plowing the "last money in" to the Tesla stock bubble, even as Wall Street, the SEC, and Elon Musk himself warn valuations have gotten way out of hand.
Why Is Tesla Falling?
While other EV makers are not profitable and still getting their bearings in the market, Tesla is a veteran. Its share price skyrocketed during the pandemic on the back of record deliveries and the Biden administration's decision to make electric vehicles a key piece of its climate change agenda.
Should Tesla Investors Press Panic Button?
For long-term investors in Tesla stock, the current crash in its price may be a familiar script. The electric carmaker's stock has always been a volatile play, and the current decline in its price, although severe, is not totally unforeseen.
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What happened
On Wednesday, Jan. 26, Tesla ( TSLA 4.81% ) will report its Q4 earnings for fiscal year 2021 -- so the fact that Tesla stock is falling today doesn't portend particularly well. As of 11 a.m. ET, Tesla stock is trading down 2.5% -- about five times worse than the decline on the broader Nasdaq index.
So what
Why Tesla stock is down isn't immediately clear. The latest read on the company's earnings from Wall Street, after all, was rather positive. Yesterday, Jefferies & Co.
Now what
Congress may not stop at mere scolding. In a letter to Tesla, the subcommittee chairmen requested that Tesla advise if it sources any car parts from Xinjiang. If all Tesla is doing is selling cars in the province, it might be bad press for the company, but Tesla isn't necessarily doing anything wrong.
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The Road Ahead
Tesla’s earnings call is scheduled for Jan. 26, 2022. While it is true that the call could lead to either calm or chaos on Wall Street, analysts remain generally bullish. Both Dan Ives of Wedbush Securities and Alexander Potter of Piper Sandler still rate Tesla stock as a buy and maintain high price targets.
The Bottom Line
We don’t know for sure what Tesla will report on its Wednesday call, but we have reason to believe it will be positive. That bodes well for investors who remain bullish on Tesla stock.
Why is Tesla's market cap falling?
Tesla’s market cap has already shed billions Wednesday – falling over 10% in early morning trading over fears that the coronavirus outbreak will delay the timeline for new vehicle deliveries in China. With expectations for the electric automaker so high, Elon Musk can’t afford any setbacks in 2020.
What happens if Tesla can't meet Elon's guidance?
If Tesla can’t meet Elon’s guidance, the stock could give back some of its gains. This comes after a whirlwind rally took shares to an all-time high of $968. Tesla (NASDAQ:TSLA) bulls are on thin ice after the stock’s monster rally raises questions about sustainability and valuation.
How much did Tesla sell for 2020?
30. Tesla went into 2020 trading at around $430 per share before going on a parabolic rally that took prices to an all-time high of $968.
Will Tesla make a lot of promises in 2020?
Tesla Made a Lot of Promises for 2020. While Tesla’s controversial rally may seem like baseless speculation to some observers, it’s largely based on the company’s guidance for the full year 2020. If Musk can’t fulfill his promises, the stock could give back much of its gains. Elon claims that vehicle deliveries in 2020 will comfortably exceed ...
Is Tesla going to delay deliveries in China?
Tesla has shed over 10% in early morning trading over fears that the coronavirus will delay vehicle deliveries in China. Elon Musk made some bold promises in the company’s fourth-quarter earnings call – guiding for 500,000 vehicle deliveries in 2020.
