Alta Advisers Ltd Trims Stock Holdings in Tesla, Inc. $TSLA

Key Points

• Alta Advisers Ltd cut its Tesla stake by 23.1% in the fourth quarter, selling 3,280 shares and ending with 10,912 shares worth about $4.9 million. Tesla remained its 12th-largest holding and represented 1.7% of the portfolio.
• Tesla’s stock was trading up 1.8% at $433.59, and the company still has a huge market cap of about $1.63 trillion. Its valuation remains elevated, with a P/E ratio near 398.
• Recent Tesla headlines have been mixed: bullish sentiment is tied to SpaceX IPO/merger chatter and momentum in Tesla’s autonomy/robotaxi story, while bearish comments warn that some investors could sell TSLA to buy SpaceX and that execution risks remain.

Alta Advisers Ltd trimmed its position in Tesla, Inc. (NASDAQ:TSLA - Free Report) by 23.1% during the 4th quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 10,912 shares of the electric vehicle producer's stock after selling 3,280 shares during the period. Tesla accounts for 1.7% of Alta Advisers Ltd's portfolio, making the stock its 12th biggest position. Alta Advisers Ltd's holdings in Tesla were worth $4,907,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Networth Advisors LLC bought a new stake in Tesla in the fourth quarter worth $26,000. Chapman Financial Group LLC bought a new stake in Tesla in the second quarter worth $26,000. Davidson Capital Management Inc. lifted its holdings in shares of Tesla by 79.4% during the fourth quarter. Davidson Capital Management Inc. now owns 61 shares of the electric vehicle producer's stock valued at $27,000 after purchasing an additional 27 shares in the last quarter. Prism Advisors Inc. bought a new position in shares of Tesla during the fourth quarter valued at $30,000. Finally, Turning Point Benefit Group Inc. bought a new position in shares of Tesla during the third quarter valued at $30,000. 66.20% of the stock is owned by hedge funds and other institutional investors.

Tesla Stock Up 1.8%

TSLA stock opened at $433.59 on Wednesday. Tesla, Inc. has a fifty-two week low of $273.21 and a fifty-two week high of $498.83. The business's 50-day moving average is $389.23 and its two-hundred day moving average is $416.22. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.62 and a current ratio of 2.04. The company has a market cap of $1.63 trillion, a price-to-earnings ratio of 397.79, a P/E/G ratio of 16.82 and a beta of 1.79.

Tesla (NASDAQ:TSLA - Get Free Report) last posted its earnings results on Thursday, April 23rd. The electric vehicle producer reported $0.41 earnings per share for the quarter, beating analysts' consensus estimates of $0.39 by $0.02. Tesla had a return on equity of 4.89% and a net margin of 3.95%.The company had revenue of $22.39 billion for the quarter, compared to the consensus estimate of $22.96 billion. During the same quarter in the prior year, the company earned $0.27 earnings per share. Tesla's revenue was up 15.8% on a year-over-year basis. As a group, analysts forecast that Tesla, Inc. will post 1.2 earnings per share for the current year.

Key Headlines Impacting Tesla

Here are the key news stories impacting Tesla this week:

• Positive Sentiment: Merger chatter between Tesla and SpaceX has intensified, reinforcing the market’s view that Tesla could benefit from any strategic tie-up or increased investor attention around Musk’s companies. SpaceX-Tesla merger chatter reignites as Musk pushes rocket company towards Nasdaq
• Positive Sentiment: Several market notes say TSLA is trading higher as investors stay focused on the potential value creation from SpaceX’s upcoming IPO and broader enthusiasm for Musk’s AI, autonomy, and robotics narrative. Tesla Stock Trades Higher as Investors Remain Focused on SpaceX
• Positive Sentiment: Technical coverage suggests Tesla is holding a “three-weeks-tight” setup and continuing to recover from earlier weakness, which can support momentum buying. Tesla Stock Is In A Three-Weeks Tight, Continues Its Recovery From A Deep Slump
• Neutral Sentiment: Coverage also highlighted Tesla’s autonomous-driving and robotaxi potential as a long-term value driver, but this is more of a valuation story than an immediate fundamental catalyst. Fully Self-Driving Technology Positions Tesla Stock for Another Wave of Value Creation
• Negative Sentiment: Some commentary warns that a SpaceX IPO could prompt investors to sell some Tesla shares to fund SpaceX purchases, creating temporary pressure on TSLA. The SpaceX IPO Could Be a Huge Event for Tesla Stock Investors
• Negative Sentiment: Bearish coverage noted that Tesla’s auditors have said the company’s growth narrative is “not probable,” which could temper enthusiasm if investors refocus on execution risk. Tesla's Own Auditors Say The Growth Narrative Is Currently 'Not Probable'

Wall Street Analysts Forecast Growth

TSLA has been the topic of a number of research analyst reports. Benchmark reaffirmed a "buy" rating on shares of Tesla in a report on Wednesday, February 11th. Jefferies Financial Group reaffirmed a "neutral" rating on shares of Tesla in a report on Wednesday, April 22nd. Stifel Nicolaus set a $508.00 price target on Tesla in a report on Thursday, January 29th. Canaccord Genuity Group upped their price target on Tesla from $420.00 to $450.00 and gave the company a "buy" rating in a report on Thursday, April 23rd. Finally, DZ Bank raised Tesla from a "sell" rating to a "hold" rating and set a $385.00 price target on the stock in a report on Friday, April 24th. Nineteen equities research analysts have rated the stock with a Buy rating, seventeen have issued a Hold rating and five have assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $395.20.

Insider Transactions at Tesla

In other Tesla news, CFO Vaibhav Taneja sold 3,000 shares of the company's stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $450.00, for a total value of $1,350,000.00. Following the completion of the sale, the chief financial officer owned 18,106 shares in the company, valued at $8,147,700. This represents a 14.21% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Kathleen Wilson-Thompson sold 26,409 shares of the company's stock in a transaction dated Thursday, April 30th. The stock was sold at an average price of $378.11, for a total value of $9,985,506.99. Following the completion of the sale, the director owned 48,399 shares of the company's stock, valued at approximately $18,300,145.89. The trade was a 35.30% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 57,482 shares of company stock worth $21,508,331. 19.90% of the stock is owned by corporate insiders.

Tesla Company Profile

Tesla, Inc NASDAQ: TSLA is an American company that designs, manufactures and sells electric vehicles, energy generation and energy storage products. Founded in 2003 by Martin Eberhard and Marc Tarpenning, Tesla grew into a vertically integrated mobility and clean‑energy company with Elon Musk serving as its chief executive officer. The company's stated mission is to accelerate the world's transition to sustainable energy, reflected in its combined focus on electric drivetrains, battery technology, renewable energy products and software.

Tesla's automotive business includes a lineup of battery‑electric vehicles and related services.

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