Elon Musk's Tesla Is Worth $26 A Share, Analyst Says: 'One Of The Most Overvalued Stocks In The Market'
Portfolio Pulse from Benzinga Neuro
David Trainer, CEO of New Constructs, believes Tesla's stock is significantly overvalued, estimating its worth at $26 per share, a tenth of its recent closing price. Tesla's Q2 results led to a 9% drop in its shares and sparked debate about its valuation. Trainer's bearish outlook is based on falling demand, deteriorating margins, and a massive cash burn. However, Wedbush's Dan Ives sees Tesla's Q2 earnings positively, arguing that its gross margins are stabilizing and its full self-driving AI technology and EV charging network will boost future profits.
July 21, 2023 | 12:06 pm
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Tesla's stock is seen as overvalued by New Constructs CEO David Trainer, who estimates its worth at $26 per share. This follows a 9% drop in Tesla's shares after Q2 results. However, Wedbush's Dan Ives sees potential for future profit growth.
The bearish outlook from New Constructs CEO David Trainer, who believes Tesla's stock is significantly overvalued, could negatively impact investor sentiment and put downward pressure on the stock price. However, the bullish view from Wedbush's Dan Ives, who sees potential for future profit growth, could provide some counterbalance.
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