Zacks Investment Research Lowers Tesla (TSLA) to Sell
Zacks Investment Research downgraded shares of Tesla (NASDAQ:TSLA) from a hold rating to a sell rating in a report issued on Saturday morning.
According to Zacks, “Tesla announced Model 3 production delays twice leading to huge mismatch between actual number of reservation and delivery. Tesla attributed production bottlenecks for this slow production. The company caters to a niche market and has been recording losses over the last few years. Moreover, the company is facing supply chain problems which are restricting its ability to increase production. High research and development costs, low number of chargers, high requirement of capital expenditure and opposition to direct selling in some states are other headwinds.”
Several other analysts have also weighed in on the stock. Cowen reiterated a sell rating on shares of Tesla in a research note on Friday. Vetr lowered shares of Tesla from a buy rating to a hold rating and set a $331.97 price objective for the company. in a research note on Tuesday, January 9th. KeyCorp reiterated a hold rating on shares of Tesla in a research note on Thursday, January 4th. Nomura reiterated a buy rating and issued a $500.00 price objective on shares of Tesla in a research note on Thursday, January 4th. Finally, Barclays reiterated a sell rating and issued a $210.00 price objective on shares of Tesla in a research note on Thursday, January 4th. Twelve analysts have rated the stock with a sell rating, twelve have assigned a hold rating and eleven have given a buy rating to the stock. The stock has an average rating of Hold and an average target price of $329.48.
Tesla (NASDAQ:TSLA) last released its quarterly earnings data on Wednesday, November 1st. The electric vehicle producer reported ($2.92) earnings per share for the quarter, beating the consensus estimate of ($3.09) by $0.17. The company had revenue of $2.99 billion during the quarter, compared to analyst estimates of $2.94 billion. Tesla had a negative net margin of 13.09% and a negative return on equity of 24.88%. Tesla’s revenue for the quarter was up 29.9% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.71 EPS. analysts expect that Tesla will post -11.38 earnings per share for the current fiscal year.
In other Tesla news, VP John Douglas Field sold 600 shares of Tesla stock in a transaction on Thursday, November 2nd. The shares were sold at an average price of $301.60, for a total transaction of $180,960.00. Following the transaction, the vice president now directly owns 21,424 shares of the company’s stock, valued at approximately $6,461,478.40. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Kimbal Musk sold 4,065 shares of Tesla stock in a transaction on Tuesday, January 2nd. The stock was sold at an average price of $312.08, for a total transaction of $1,268,605.20. Following the transaction, the director now directly owns 154,589 shares in the company, valued at $48,244,135.12. The disclosure for this sale can be found here. Insiders have sold a total of 13,956 shares of company stock worth $4,437,518 over the last ninety days. Insiders own 23.10% of the company’s stock.
A number of institutional investors and hedge funds have recently bought and sold shares of TSLA. Prudential Financial Inc. boosted its holdings in Tesla by 12.3% during the 2nd quarter. Prudential Financial Inc. now owns 8,031 shares of the electric vehicle producer’s stock worth $2,904,000 after acquiring an additional 880 shares during the last quarter. Principal Financial Group Inc. boosted its holdings in shares of Tesla by 10.9% in the 2nd quarter. Principal Financial Group Inc. now owns 8,775 shares of the electric vehicle producer’s stock worth $3,173,000 after buying an additional 861 shares during the last quarter. Schroder Investment Management Group boosted its holdings in shares of Tesla by 16.8% in the 2nd quarter. Schroder Investment Management Group now owns 1,237 shares of the electric vehicle producer’s stock worth $446,000 after buying an additional 178 shares during the last quarter. Franklin Resources Inc. boosted its holdings in shares of Tesla by 3.3% in the 2nd quarter. Franklin Resources Inc. now owns 39,338 shares of the electric vehicle producer’s stock worth $14,225,000 after buying an additional 1,275 shares during the last quarter. Finally, AXA boosted its holdings in shares of Tesla by 18.7% in the 2nd quarter. AXA now owns 2,488 shares of the electric vehicle producer’s stock worth $900,000 after buying an additional 392 shares during the last quarter. 57.13% of the stock is currently owned by hedge funds and other institutional investors.
COPYRIGHT VIOLATION NOTICE: This news story was first published by TheOlympiaReport and is the sole property of of TheOlympiaReport. If you are viewing this news story on another publication, it was copied illegally and reposted in violation of U.S. & international copyright legislation. The original version of this news story can be viewed at https://theolympiareport.com/2018/01/23/zacks-investment-research-lowers-tesla-tsla-to-sell.html.
Tesla Company Profile
Tesla, Inc, formerly Tesla Motors, Inc, designs, develops, manufactures and sells fully electric vehicles, and energy storage systems, as well as installs, operates and maintains solar and energy storage products. The Company operates through two segments: Automotive, and Energy generation and storage.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Tesla Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Tesla and related companies with MarketBeat.com's FREE daily email newsletter.