Tesla's (TSLA) Sell Rating Reiterated at UBS Group

Key Points

• UBS Group has reiterated a "sell" rating on Tesla's stock with a price target of $215.00, indicating a potential downside of 50.70% from its previous close.
• Research analysts have varied opinions on Tesla, with ratings ranging from strong buy to sell, resulting in a consensus rating of "Hold" and a price target of $334.94.
• Tesla's latest earnings report showed a miss on EPS estimates, with a quarterly revenue decrease of 11.8% compared to the previous year.

Tesla (NASDAQ:TSLA - Get Free Report)'s stock had its "sell" rating restated by stock analysts at UBS Group in a research note issued to investors on Thursday,MarketScreener Latest Ratings reports. They currently have a $215.00 price objective on the electric vehicle producer's stock. UBS Group's target price would suggest a potential downside of 50.70% from the stock's previous close.

Other research analysts have also issued research reports about the stock. Needham & Company LLC reaffirmed a "hold" rating on shares of Tesla in a research note on Thursday, July 24th. HSBC increased their price target on shares of Tesla from $120.00 to $127.00 in a research report on Monday. Dbs Bank increased their price target on shares of Tesla from $300.00 to $450.00 in a research report on Wednesday, September 17th. Wedbush increased their price target on shares of Tesla from $500.00 to $600.00 and gave the stock an "outperform" rating in a research report on Friday, September 26th. Finally, Baird R W raised shares of Tesla from a "hold" rating to a "strong-buy" rating in a research report on Friday, September 19th. Two investment analysts have rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating, twelve have assigned a Hold rating and nine have given a Sell rating to the company. According to MarketBeat.com, Tesla currently has a consensus rating of "Hold" and a consensus price target of $334.94.

Tesla Price Performance

Shares of NASDAQ TSLA traded down $23.33 during mid-day trading on Thursday, reaching $436.14. The company's stock had a trading volume of 126,629,364 shares, compared to its average volume of 102,952,797. The stock has a 50-day moving average of $359.13 and a two-hundred day moving average of $318.62. The stock has a market capitalization of $1.45 trillion, a P/E ratio of 252.10, a P/E/G ratio of 15.46 and a beta of 2.08. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.55 and a current ratio of 2.04. Tesla has a 1-year low of $212.11 and a 1-year high of $488.54.

Tesla (NASDAQ:TSLA - Get Free Report) last issued its earnings results on Wednesday, July 23rd. The electric vehicle producer reported $0.40 EPS for the quarter, missing analysts' consensus estimates of $0.43 by ($0.03). Tesla had a net margin of 6.54% and a return on equity of 7.98%. The business had revenue of $22.50 billion during the quarter, compared to analyst estimates of $23.18 billion. During the same quarter last year, the company earned $0.52 earnings per share. Tesla's quarterly revenue was down 11.8% on a year-over-year basis. On average, equities research analysts anticipate that Tesla will post 2.56 EPS for the current fiscal year.

Insider Activity

In related news, CFO Vaibhav Taneja sold 4,000 shares of the stock in a transaction that occurred on Monday, July 7th. The shares were sold at an average price of $292.89, for a total transaction of $1,171,560.00. Following the completion of the sale, the chief financial officer owned 5,924 shares of the company's stock, valued at approximately $1,735,080.36. This represents a 40.31% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director James R. Murdoch sold 120,000 shares of the stock in a transaction that occurred on Tuesday, August 26th. The stock was sold at an average price of $350.29, for a total transaction of $42,034,800.00. Following the sale, the director directly owned 697,031 shares of the company's stock, valued at approximately $244,162,988.99. This trade represents a 14.69% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 208,606 shares of company stock valued at $77,360,462 in the last 90 days. 19.90% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Tesla

Large investors have recently added to or reduced their stakes in the stock. Central Pacific Bank Trust Division increased its holdings in shares of Tesla by 42.9% during the third quarter. Central Pacific Bank Trust Division now owns 3,684 shares of the electric vehicle producer's stock valued at $1,638,000 after purchasing an additional 1,106 shares during the period. GAMMA Investing LLC boosted its stake in Tesla by 9.8% during the third quarter. GAMMA Investing LLC now owns 52,779 shares of the electric vehicle producer's stock valued at $23,472,000 after buying an additional 4,723 shares in the last quarter. Armstrong Henry H Associates Inc. bought a new position in Tesla during the third quarter valued at about $205,000. Global Wealth Strategies & Associates boosted its stake in Tesla by 56.1% during the third quarter. Global Wealth Strategies & Associates now owns 2,137 shares of the electric vehicle producer's stock valued at $950,000 after buying an additional 768 shares in the last quarter. Finally, Park National Corp OH boosted its stake in Tesla by 17.9% during the third quarter. Park National Corp OH now owns 2,497 shares of the electric vehicle producer's stock valued at $1,110,000 after buying an additional 379 shares in the last quarter. 66.20% of the stock is owned by institutional investors and hedge funds.

About Tesla

Tesla, Inc designs, develops, manufactures, leases, and sells electric vehicles, and energy generation and storage systems in the United States, China, and internationally. The company operates in two segments, Automotive, and Energy Generation and Storage. The Automotive segment offers electric vehicles, as well as sells automotive regulatory credits; and non-warranty after-sales vehicle, used vehicles, body shop and parts, supercharging, retail merchandise, and vehicle insurance services.

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