The most recent trading session ended with Tesla (TSLA) standing at $227.87, reflecting a +0.48% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily gain of 0.03%. Meanwhile, the Dow lost 0.04%, and the Nasdaq, a tech-heavy index, added 0.2%.
Prior to today's trading, shares of the electric car maker had gained 1.82% over the past month. This has lagged the Auto-Tires-Trucks sector's gain of 1.96% and outpaced the S&P 500's gain of 1.54% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Tesla in its upcoming earnings disclosure. In that report, analysts expect Tesla to post earnings of $0.58 per share. This would mark a year-over-year decline of 12.12%. At the same time, our most recent consensus estimate is projecting a revenue of $25.73 billion, reflecting a 10.18% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.27 per share and revenue of $98.9 billion, indicating changes of -27.24% and +2.19%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Tesla. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Tesla currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Tesla is presently trading at a Forward P/E ratio of 99.9. This signifies a premium in comparison to the average Forward P/E of 13.36 for its industry.
It is also worth noting that TSLA currently has a PEG ratio of 4.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Automotive - Domestic industry stood at 1.43 at the close of the market yesterday.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. Currently, this industry holds a Zacks Industry Rank of 167, positioning it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
