Tesla stock continues to fall as broader markets rise

Canada Global (Web News) Tesla Inc. shares are currently selling at their lowest price ever by at least one metric as the electric vehicle behemoth battles a number of issues, including dwindling Chinese demand and investor worry over billionaire CEO Elon Musk’s goals.

According to information gathered by Bloomberg, the stock is currently trading at 29 times expected earnings. That’s the lowest valuation since the company went public in 2010, but it’s still significantly higher than the S&P 500 Index’s 17 times anticipated earnings. Tuesday marked the first time since November 2020 that the company’s market worth went below $500 billion.

According to market observers, the automaker’s stock faces significant challenges as we move into the new year. Because Chinese demand isn’t as high as anticipated, the company is being forced to reduce production and hire more slowly.
Additionally, investors are growing more concerned that Musk’s acquisition of Twitter Inc. may end up hurting Tesla by limiting his engagement in the business.

Due to Twitter’s problems and the slowing demand, Maley predicted that Tesla might drop as low as $150 before investors start to take notice.

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