|Contributor / Partner
Strategy published on : 12/03/2018 | 16:58
Entry price : 362.79$
Target : 409$
Stop-loss : 337$
Potential : 12.74%
Shares in Tesla have recently benefitted from a regain of interest by market participants. The technical chart pattern suggests a continuation of the upward movement.
Investors have an opportunity to buy the stock and target the $ 409.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
● Analysts expect a sharply increasing business volume for the group, with high growth rates in the coming years.
● Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● For the last 4 months, the company has been enjoying highly positive EPS revisions, which were frequently and significantly raised.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● The share is close to its long-term resistance in weekly data. Therefore, the potential should be limited. However, a further bullish movement when crossing this resistance will be a positive signal.
● The stock is close to a major daily resistance at USD 379.57, which should be gotten rid of so as to gain new appreciation potential.
● The company has insufficient levels of profitability.
● The group shows a rather high level of debt in proportion to its EBITDA.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● The group usually releases earnings worse than estimated.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.