Scalper1 News
Loading the player… Not only are Tesla Motors ‘ ( TSLA ) cars equipped with “Ludicrous mode,” but one analyst now seems to think Tesla’s stock valuation is ludicrous. The stock dropped 5% Wednesday after getting a downgrade to sell by S&P Global Market Intelligence. The analyst called the electric car maker’s shares “volatile,” and sees “significant execution and valuation risk in the premium priced stock.” The sell rating comes despite the analyst’s belief that sales and earnings will “surge” this year. (The car’s Ludicrous mode, in case you’re wondering, allows it to go from 0 to 60 mph in 2.8 seconds.) The stock crumbled in slightly lighter-than-average volume, breaching support at the 200-day line. Tesla just climbed above that level last Friday. The stock had rallied in anticipation of the company’s Model 3 reveal and had just reached its highest level so far this year. But now the shares are back further in the red for 2016. The $30,000 mass market Model 3 will be unveiled next Thursday evening, with a live stream of the event available on Tesla’s website . Reservations for the new car begin on March 31, and production for the Model 3 is scheduled to begin in late 2017. This week, the rival Chevy Bolt EV from parent company General Motors ( GM ) entered pre-production, with the testing of assembly tools. Production is expected to start at the end of 2016, an entire year ahead of the Model 3. Scalper1 News
Scalper1 News