Tuesday was an exciting day here at Banyan Hill…
As Tesla Inc. (Nasdaq: TSLA) zoomed toward $1,000, half of us were ready to pop the champagne … while others waved a yellow caution flag. (You can probably guess which camp I belonged to.)
Of course, shares never quite reached $1,000. The fall in price since has been equally as dizzying.
But up or down, Tesla grabbed the lion’s share of headlines this week.
Does the company have more room to run? How far will it fall? Is it too late to get in?
To answer those questions, in today’s video, I use my economist’s toolkit to identify the strengths and weaknesses of Tesla as a company. After all, that’s how to evaluate a stock … not via buzzy headlines.
And, well, I think you may be surprised by my conclusion.
The Real Reasons for Tesla’s Decline
By now, you’ve probably heard that Tesla’s recent pullback was due to bad news coming out of China … that Tesla had to shut down production at its Shanghai factory because of the coronavirus.
But that’s not the whole story. And you won’t read about the bigger picture in the mainstream news…
TSLA the stock may be on a tear, but Tesla the company faces real-world issues that will be tough to resolve.
You’ll also discover:
- What the latest insider activity reveals about where the stock may be headed next.
- How the company pulled off such an impressive earnings report considering revenue only inched up a small 2%.
- Why Tesla’s new strategy means smaller profit margins and more competition.
- Most important of all, find out what your target buy price should be if you do want to speculate on Tesla stock. (Hint — nowhere near where it’s trading now.)
To watch this newest video, click here or click the image below.
If you like what you see here, please subscribe to my channel. Just click “Subscribe” on the top-right corner of the landing page. And follow me on Twitter here.
Kind regards,
Ted Bauman
Editor, The Bauman Letter
