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Is investing in Tesla stock a good idea?

Elon Musk, Tesla Chief Executive, has never had a dull moment. One day, he launches astronauts to the International Space Station. One day, he is opening a new plant for auto manufacturing to a huge crowd in Berlin. Another is his jousting with Twitter as he became its largest shareholder. Are you a Tesla stock investor?
Tesla (TSLA), reported that it delivered 310.048 vehicles in the quarter. This was 68% more than the previous year, but still below analyst estimates of 312,000.

Analysts were expecting a lower number, given recent Covid shutdowns that had occurred in China. Dan Ives from Wedbush, an analyst at the firm, wrote in a note that there were “massive logistics issues delivering units in Europe” because of this.

Ives said that the delivery and production numbers were positive in comparison to Ford Motor and GM (GM), as well Chinese EV players such Nio (Nio), Xpeng, XPEV and others. This is the next step in Tesla’s growth story. With the Austin and Berlin factories now green-lighted, Ives agreed.
Covid Closes Shanghai Plant

Tesla reported on July 21 better-than-expected earnings as it slowly reopened its Shanghai plant, which was closed in response to a rise in Covid-19 case in China.

“Weekly production rates were high during Q1, but a spike COVID-19 case in Shanghai led to the temporary shutting down of our factory, as well as parts and parcels of our supply chains,” management stated in its earnings presentation. Although production has been limited, we are still closely monitoring the situation.

Musk is still optimistic about the rebound in output. Musk spoke to investors in an earnings call and stated that he anticipated second-quarter production to be similar to the previous quarter, or possibly slightly lower.

StockForecast carries the Tesla stock prediction 2030.

“We might pull a rabbit off the hat, and be slightly higher,” he said.
First-Quarter Earnings Soar

Tesla’s quarter-end earnings per share increased by 246% to $3.22 per Share, while sales rose 81%, to $18.76 Billion. It’s the second straight quarter with accelerating growth. That’s $679 million of regulatory credits. This is more than doubling the amount in the fourth quarter 2021. Twitter stock rose.

Tesla’s Berlin factory opened on March 22nd, and now ships the Model Y. Its Austin facility opened on April 7 and will produce the Model Y.

However, the continued war in Ukraine as well as persistent parts shortages will make it difficult to reach delivery targets.

Musk posted on Twitter, “This quarter was exceptionally difficult due to supply chain interruptions& China zero COVID Policy.”

The auto giant has stated that it anticipates selling 1.5 million new electric vehicles by 2022. Supply issues may allow for a further 2 million. This would be nearly three times the amount of last year.
Twitter acquired by Elon Musk

As if all this was not enough, Musk disclosed in April that he had bought 9.2% of Twitter’s (TWTR), making him its largest shareholder.

Musk offered to buy Twitter for $54.20 a piece in cash after that. Twitter reached a definitive deal with Musk eleven days later to buy Twitter at $54.20 per share in a cash transaction of $44 billion.

Musk stated that free speech is the foundation for a functioning democracy. He also said that Twitter is the digital city square where crucial issues concerning the future of humanity will be debated.

He added, “I also wish to make Twitter even better by enhancing it with new features, making algorithms open source for trust to increase confidence, defeating spambots and authenticating all human beings,”

Musk wants to create 20 million electric cars a year in the next decade. That would more than double the current production of auto-making giants. It’s on a mission to rapidly increase its manufacturing capabilities.

Tesla has begun production in Germany. Now, the company will compete in electric vehicles under three German brands: Volkswagen Group(VWAGY), BMW(BMWYY), Mercedes-Benz (DDAIF)

Rivian Motors (RIVN), General Motors (GM) and Ford Motors are also serious competitors. Ford’s F-150 Lightning electrical truck is due to arrive this spring. The first GM electric Silverado will be available to fleet operators in the second quarter.
Tesla Stock Checkout

According to IBD Stock Checkup, Tesla stock has an IBD Composite rating of 95 out 99. If you are looking for growth stocks with the highest potential gains, consider those that have a Composite Ranking of 90 or greater.

The stock also has an Relative Strength Rating (87) out of 99. This rating shows that Tesla stock has outperformed 87% if all stocks in IBD over the past 12months.

Its Accumulation/Distribution Rating is C. That rating analyzes price and volume changes in a stock over the past 13 weeks of trading. A grade above A means that there is a lot of institutional buying. E is the lowest rating. It means that you are selling heavily. The C grade can be thought of as neutral.

Timing is everything in the stock exchange. You must do your fundamental and technical analysis when looking for stocks that you can buy or sell. This will help you identify low-risk entry points while also offering solid potential rewards.
Tesla Stock – Is it worth buying?

MarketSmith analysis on a daily chart shows that Tesla stock is now at a cup with handle, with a buy price of 1,152.97. The market sell-off has caused shares to take a break in recent days, as they have risen 32% since mid March. It ended regular session trading April 11th at 975.93.