Tesla (TSLA) Stock Remains Preferable Despite Recent Lows

Tesla stock is one of the most talked about and heated stocks across the markets. Many instances that took place lately including Tesla and CEO Elon Musk ended up affecting the Tesla stock price. Broadly TSLA stock price fell since August, roughly about 30%. During the same time period, NASDAQ lost 8%.

Tesla stock price constantly decreases down under selling pressure. Amid lower-highs trend buyers failed to hold asset prices above support trendline. Undoubtedly its intense bearish while price is approaching the 0.382 level of Fib retracement as a support zone. This is the last defending zone of bulls, below this level bears may aim for the $150 mark. Moreover, the RSI is remaining into the oversold zone.

Analysts holding diverse views regarding TSLA stock considering its below 200 USD or its at 50% discount from previous year and even dropped at the levels of 2020.

Dissatisfying Twitter Deal Negatively Impact TSLA Stock

Past several instances had enough potential to affect the company and make stock prices tremble. Twitter could be treated as one such reason as it has a strong link with the matter. CEO Elon Musk started selling Tesla stock in order to accumulate funds anticipating buying Twitter. Now when the social media platform is under Musk’s leadership, the investors still seem to not have enough confidence.

Musk started selling his shares of TSLA stock—sold about 7 billion USD in August while 3.95 billion USD worth stock in November. Overall selling of electric vehicle manufacturer shares made more than 19 billion USD overall to Tesla CEO.

Company Performance Keeps Hopes for TSLA Stock Price

Despite recent ups and downs, the company has shown consistent growth over the longer timeframe. The Q3 earnings release of 2022, for instance, has reported impressive figures. Earnings per share for Tesla stock was 1.05 USD, clearly significant growth from 62 cents year over year and even the estimate of 95 cents.

Tesla reported revenue with 21,454 million USD in the third quarter of 2022, over 55% surge from last year. Despite the phenomenal growth, it stayed down to the estimated revenue of 22,323 million USD. Overall gross margin remained 25.1% while the operating margin turned out 17.2%.

On the production and delivery front, the electric car company also witnessed growth. Tesla produced up to 366,000 vehicles while delivering about 343,830 vehicles overall. The numbers remained about 54% and 42% higher than the previous year’s numbers respectively.

Citing these growth factors, analysts put the stock on “buy” rating.

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing