Convergence Financial LLC Sells 2,988 Shares of Tesla, Inc. $TSLA

Key Points

• Convergence Financial LLC cut its Tesla stake by 10.3% in the fourth quarter, selling 2,988 shares and leaving it with 26,152 shares worth about $11.76 million.
• Several Tesla insiders have also been selling shares recently, including Director Kathleen Wilson-Thompson and CFO Vaibhav Taneja, with total insider sales reaching 55,218 shares over the last 90 days.
• Tesla reported better-than-expected quarterly EPS of $0.41, but revenue came in slightly below estimates; meanwhile, analysts currently rate the stock a Hold on average with a consensus price target of $395.20.

Convergence Financial LLC lowered its holdings in Tesla, Inc. (NASDAQ:TSLA - Free Report) by 10.3% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 26,152 shares of the electric vehicle producer's stock after selling 2,988 shares during the period. Tesla comprises about 1.7% of Convergence Financial LLC's portfolio, making the stock its 17th largest holding. Convergence Financial LLC's holdings in Tesla were worth $11,761,000 at the end of the most recent quarter.

A number of other hedge funds have also added to or reduced their stakes in TSLA. Networth Advisors LLC bought a new position in Tesla in the fourth quarter valued at $26,000. Chapman Financial Group LLC bought a new position in shares of Tesla in the 2nd quarter valued at about $26,000. Davidson Capital Management Inc. grew its position in shares of Tesla by 79.4% in the 4th quarter. Davidson Capital Management Inc. now owns 61 shares of the electric vehicle producer's stock valued at $27,000 after acquiring an additional 27 shares during the period. Prism Advisors Inc. bought a new position in shares of Tesla in the 4th quarter valued at about $30,000. Finally, Turning Point Benefit Group Inc. bought a new position in shares of Tesla in the 3rd quarter valued at about $30,000. Institutional investors own 66.20% of the company's stock.

Insider Activity

In related news, Director Kathleen Wilson-Thompson sold 26,409 shares of Tesla stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $378.11, for a total transaction 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 sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Vaibhav Taneja sold 3,000 shares of Tesla stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $450.00, for a total transaction of $1,350,000.00. Following the completion of the sale, the chief financial officer owned 18,106 shares of the company's stock, valued at $8,147,700. This trade represents a 14.21% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 55,218 shares of company stock valued at $20,609,455 in the last ninety days. 19.90% of the stock is currently owned by insiders.

Tesla Stock Performance

Shares of TSLA stock opened at $418.45 on Friday. The company has a market capitalization of $1.57 trillion, a price-to-earnings ratio of 383.90, a PEG ratio of 16.73 and a beta of 1.80. 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 50-day simple moving average of $395.23 and a 200 day simple moving average of $416.24. Tesla, Inc. has a 52 week low of $273.21 and a 52 week high of $498.83.

Tesla (NASDAQ:TSLA - Get Free Report) last announced its earnings results on Thursday, April 23rd. The electric vehicle producer reported $0.41 EPS for the quarter, topping the consensus estimate of $0.39 by $0.02. The business had revenue of $22.39 billion during the quarter, compared to the consensus estimate of $22.96 billion. Tesla had a net margin of 3.95% and a return on equity of 4.89%. Tesla's revenue was up 15.8% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.27 EPS. On average, sell-side analysts predict 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: Tesla expanded its unsupervised Robotaxi service area in Austin, a sign that its autonomous ride-hailing push is still advancing and could support the long-term AI/robotics story. Reuters: Tesla rolls out unsupervised robotaxis in Austin
• Positive Sentiment: Tesla reported a strong rebound in China-made EV sales in May, with Shanghai deliveries jumping sharply as the domestic market showed signs of recovery, which may help near-term demand sentiment. CNBC: Tesla's China-made EV sales jump nearly 40% in May
• Positive Sentiment: Global EV sales rose in April and were led by Tesla, reinforcing that the broader EV market is still growing. TipRanks: Global Electric Vehicle Sales Rose 16% in April
• Neutral Sentiment: News around SpaceX’s massive IPO and speculation about a possible future Tesla-SpaceX linkage is stirring investor attention, but it is mostly indirect and highly speculative for TSLA in the near term. CNBC: SpaceX targets $135 IPO price
• Negative Sentiment: Several reports highlighted that Tesla’s stock is being dragged by weakness in tech stocks overall, especially after Broadcom’s disappointing results weighed on the sector. Yahoo Finance: Sector Update: Tech Stocks Fall Thursday Afternoon
• Negative Sentiment: Analysts and commentators continue to question Tesla’s rich valuation, arguing that the stock price still reflects ambitious AI, robotaxi, and robotics expectations that have not yet been fully proven in financial results. 247WallSt: Buy, Hold, or Sell: Is Tesla Stock a Sell Above $400?
• Negative Sentiment: Competitive and legal concerns are also lingering, including scrutiny over Tesla’s FSD claims in China and new competition in robotics and EVs, which can pressure sentiment. Yahoo Finance: Tesla Faces China FSD Lawsuit

Analyst Ratings Changes

A number of brokerages have recently commented on TSLA. Tigress Financial began coverage on shares of Tesla in a research report on Monday, April 27th. They issued a "buy" rating for the company. Wedbush reissued an "outperform" rating and issued a $600.00 price objective on shares of Tesla in a research report on Tuesday, April 21st. Royal Bank Of Canada reissued a "buy" rating on shares of Tesla in a research report on Monday, April 27th. Jefferies Financial Group reissued a "neutral" rating on shares of Tesla in a research report on Wednesday, April 22nd. Finally, Zacks Research raised shares of Tesla from a "strong sell" rating to a "hold" rating in a research report on Tuesday, April 28th. Nineteen investment 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. Based on data from MarketBeat.com, Tesla presently has an average rating of "Hold" and a consensus target price of $395.20.

About Tesla

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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