Tesla (NASDAQ:TSLA) Shares Gap Down – Here’s Why

Tesla, Inc. (NASDAQ:TSLA)’s share price gapped down before the market opened on Wednesday . The stock had previously closed at $479.86, but opened at $466.50. Tesla shares last traded at $469.91, with a volume of 20,866,948 shares trading hands.

Analyst Ratings Changes

Several analysts have commented on TSLA shares. Needham & Company LLC restated a “hold” rating on shares of Tesla in a report on Thursday, October 24th. Wells Fargo & Company raised their price target on shares of Tesla from $120.00 to $125.00 and gave the company an “underweight” rating in a research report on Thursday, October 24th. UBS Group lifted their target price on Tesla from $197.00 to $226.00 and gave the stock a “sell” rating in a report on Monday, November 25th. Truist Financial increased their price objective on Tesla from $236.00 to $238.00 and gave the company a “hold” rating in a research report on Thursday, October 24th. Finally, Wolfe Research initiated coverage on shares of Tesla in a research report on Thursday, September 5th. They set a “peer perform” rating for the company. Nine equities research analysts have rated the stock with a sell rating, fifteen have issued a hold rating, sixteen have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $272.06.

Tesla Trading Down 0.9 %

The firm has a market cap of $1.40 trillion, a price-to-earnings ratio of 119.50, a price-to-earnings-growth ratio of 10.80 and a beta of 2.36. The business’s 50 day moving average price is $318.82 and its 200-day moving average price is $254.21. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.37 and a current ratio of 1.84.

Tesla (NASDAQ:TSLA) last posted its quarterly earnings results on Wednesday, October 23rd. The electric vehicle producer reported $0.72 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.58 by $0.14. Tesla had a return on equity of 10.24% and a net margin of 13.07%. The business had revenue of $25.18 billion for the quarter, compared to analyst estimates of $25.47 billion. During the same period in the prior year, the company posted $0.53 EPS. The business’s revenue was up 7.8% compared to the same quarter last year. Equities analysts expect that Tesla, Inc. will post 1.99 EPS for the current year.

Insider Transactions at Tesla

In related news, Director Kathleen Wilson-Thompson sold 100,000 shares of Tesla stock in a transaction dated Monday, November 11th. The stock was sold at an average price of $346.02, for a total transaction of $34,602,000.00. Following the transaction, the director now directly owns 5,400 shares of the company’s stock, valued at $1,868,508. The trade was a 94.88 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Robyn M. Denholm sold 112,390 shares of Tesla stock in a transaction on Friday, November 15th. The stock was sold at an average price of $314.44, for a total value of $35,339,911.60. Following the completion of the transaction, the director now owns 85,000 shares in the company, valued at $26,727,400. The trade was a 56.94 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 522,886 shares of company stock worth $171,393,831. 20.70% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the company. SMART Wealth LLC bought a new position in Tesla during the third quarter valued at about $208,000. DGS Capital Management LLC grew its holdings in shares of Tesla by 17.3% in the 3rd quarter. DGS Capital Management LLC now owns 3,804 shares of the electric vehicle producer’s stock worth $995,000 after purchasing an additional 560 shares during the last quarter. Boulder Wealth Advisors LLC acquired a new stake in shares of Tesla during the third quarter worth approximately $232,000. Oriental Harbor Investment Fund acquired a new position in Tesla in the third quarter worth $14,700,000. Finally, Inspire Trust Co. N.A. grew its holdings in Tesla by 23.3% during the 3rd quarter. Inspire Trust Co. N.A. now owns 8,200 shares of the electric vehicle producer’s stock worth $2,145,000 after acquiring an additional 1,548 shares during the last quarter. Institutional investors own 66.20% of the company’s stock.

Tesla Company Profile

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.