Otherwise, however, you can describe share prices movements Tesla (Nasdaq: TSLA), uninteresting is not an adjective that comes to mind. Tesla’s shares were reduced by half in the amount of December. But it still leaves it 381% higher than it was five years ago.
I would be delighted if I put the action 10,000 pounds, and five years later I was sitting at 48,000 pounds. I never had Tesla supplies, but could there be time to add it to my wallet? After all, I would now be able to buy two shares for the same amount that the investor would pay for one just four months ago.
Is Tesla misunderstood – is it very well understood?
This type of price fall is not for no reason, especially in the case of a company of Tesla. Despite the recent catastrophe of share prices, it still proves market capital in the amount of USD 757 billion.
Of course, swings with a wild price that we saw in action are not completely based on the company’s commercial results.
In my opinion, the rush has a lot to do with the situation. The risk such as the brand’s tariffs and damage due to the high political profile of the Chief Director had to play the role in transforming former fans of action into skeptics.
But I am still not convinced that the market fully understands Tesla.
First of all, does a car company even fight to maintain sales volume on an increasingly crowded market? If so, market capitalization worth USD 757 billion looks absurd to me.
Or maybe it is a kind of innovator once in a generation that will disturb many huge and potentially lucrative industries from energy storage to taxi? In this case, the final value of Tesla can be much higher than suggested by its current price.
It looks high risk, high prize capabilities
A elementary answer is: I don’t know. Only time will show.
So, like every investor, everything I can do is a judgment of values ​​based on infromation available to me at the moment.
On this basis, I present the company’s potential again. This may mean that today’s price of shares may ultimately turn out to be a brilliant long -term opportunity to buy for my wallet. Tesla has a vast installed user base, reserved technology and goes on a position on markets with huge potential.
For now, however, a lot of it remains in the future. It may be far in the future – and whether he ever appears at all, it remains an open question.
It is not just about uncertainty about how well the company’s expansion plans end. There is also a significant risk that existing business faces. Buying Tesla stocks can be a satisfying move for me, but the risk is greater than I would like to accept, so for now I will not add it to my portfolio.
