Tesla emerged as the most talked-about auto stock in 2018, even though Fiat Chrysler Automobiles has a better legacy in the auto making industry than Tesla. For FCAU, 2018 was a rough year in the stock market with its share prices dropping ~19% over the last 12 months. On the other hand, Tesla’s share price rose 7%, but it’s difficult to draw a conclusion on that basis alone -- if the year had ended a week earlier, Tesla’s price would have dropped by 5%. Volatility surrounding Tesla has been an area of concern.
Perhaps a more useful way to look at the two companies is by their respective growth strategies.
While FCAU’s growth story is an impressive one with an ever expanding SUV brand boosting the company’s margins, Tesla is yet to report a full year profit.
According to one Morgan Stanely analyst, however, Tesla has the potential of an eventual addressable market at $15 trillion – nearly 20% of the entire world's GDP. Tesla has a vision, but the financial support needed to achieve it is enormous, particularly for a company that already burns cash at an alarming rate. In the nearer term, for fundamental investors, the FCAU growth strategy may be more sustainably profitable and scalable.
The Moving Average Convergence Divergence (MACD) for TSLA turned positive on March 21, 2024. Looking at past instances where TSLA's MACD turned positive, the stock continued to rise in of 43 cases over the following month. The odds of a continued upward trend are .
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where TSLA's RSI Indicator exited the oversold zone, of 28 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on March 26, 2024. You may want to consider a long position or call options on TSLA as a result. In of 74 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where TSLA advanced for three days, in of 347 cases, the price rose further within the following month. The odds of a continued upward trend are .
TSLA may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 339 cases where TSLA Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where TSLA declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 84, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. TSLA’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (9.033) is normal, around the industry mean (6.123). P/E Ratio (41.326) is within average values for comparable stocks, (18.280). Projected Growth (PEG Ratio) (2.097) is also within normal values, averaging (5.436). TSLA has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.042). P/S Ratio (6.398) is also within normal values, averaging (57.880).
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of electric sports cars
Industry MotorVehicles