#5 - Tesla (NASDAQ:TSLA)
Tesla Inc. (NASDAQ: TSLA) lagged the market for much of the year. But Tesla founder and CEO Elon Musk’s “unique” relationship with President-Elect Donald Trump has sent TSLA stock soaring on expectations that government policy will be favorable to the company’s business, particularly as it looks to make strides in autonomous driving.
That supports the long-standing narrative of Tesla bulls, which focuses on the idea that Tesla shouldn’t be thought of as just another automaker. For example, Tesla is rapidly becoming a leader in energy storage, which is now a key driver of the company’s growth.
When investors take that view, the price of the stock will be less dependent on any softness in the company’s electric vehicle (EV) delivery numbers, which is always a trigger for retail investors.
Another trigger for those investors is the company’s forward P/E of 228x, which suggests that much of next year’s growth is fully priced in. Even analysts who are raising their price targets for TSLA stock seem to agree that the stock may be fully valued.
The point is that Tesla will continue to be a polarizing stock. But with a total return of over 1,500% in the last five years, there’s little doubt that it will be one of the best-performing growth stocks to own in 2025.
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.
Read More - Current Price
- $410.44
- Consensus Rating
- Hold
- Ratings Breakdown
- 17 Buy Ratings, 14 Hold Ratings, 9 Sell Ratings.
- Consensus Price Target
- $283.39 (31.0% Downside)
