Strategy published on : 06/13/2018 | 16:05
short sellStop-loss triggered
Entry price : 340.617$
Target : 306.9$
Stop-loss : 357$
Potential : 9.9%
Tesla shares trade close to a major resistance zone that is situated around 252.48 USD. This zone should be difficult to break through, which in turn suggests a corrective move ahead.
Investors should open a short trade and target the $ 306.9.
● In view of fundamental criteria, the company is among low performers as far as mid or long-term investment strategy is concerned.
● For a short-term investment strategy, the company has poor fundamentals.
● The prospective high growth for the next fiscal years is among the main assets of the company
● Analysts have consistently raised their revenue expectations for the company, which provides good prospects for the current and next years in terms of revenue growth.
● For the last week, the earnings per share forecast has been revised upwards. According to recent estimates, analysts give a positive overview of the stock
● Technically, the stock approaches a strong medium-term resistance at USD 357.42.
● The company has insufficient levels of profitability.
● The group shows a rather high level of debt in proportion to its EBITDA.
● Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
● The company's earnings releases usually do not meet expectations.
● For the last few months, analysts have been revising downwards their earnings forecast.
● For the last 12 months, analysts have been regularly downgrading their EPS expectations. Analysts predict worse results for the company against their predictions a year ago.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.