Tesla (TSLA) closed at $777.56 in the latest trading session, marking a -1.74% move from the prior day. This change was narrower than the S&P 500’s daily loss of 2.04%.
Prior to today’s trading, shares of the electric car maker had gained 8.27% over the past month. This has outpaced the Auto-Tires-Trucks sector’s gain of 6.44% and the S&P 500’s loss of 1.36% in that time.
Investors will be hoping for strength from TSLA as it approaches its next earnings release. The company is expected to report EPS of $1.26, up 65.79% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.93 billion, up 47.4% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.12 per share and revenue of $50.41 billion. These totals would mark changes of +128.57% and +59.86%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for TSLA. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. TSLA currently has a Zacks Rank of #1 (Strong Buy).
Investors should also note TSLA’s current valuation metrics, including its Forward P/E ratio of 154.56. This valuation marks a premium compared to its industry’s average Forward P/E of 14.25.
We can also see that TSLA currently has a PEG ratio of 4.12. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. TSLA’s industry had an average PEG ratio of 1.15 as of yesterday’s close.
The Automotive – Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 113, putting it in the top 45% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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