Summary
- I have previously been bearish on Tesla due to valuation concerns, but I am gradually changing my mind towards a more bullish consideration.
- First, I note that Tesla is ramping up deliveries at an incredible pace, breaking record after record.
- Second, despite the risk-off sentiment, Tesla stock is outperforming both growth stocks and legacy carmakers YTD.
- Third, people continue to love the Tesla brand, with all its flaws.
- I upgrade TSLA shares from "Hold" to "Buy." I calculate a fair implied target price of $366.80/share.
For further details see:
Tesla: Beware Betting Against Entrepreneurship And Innovation