- Tesla is a unique stock that escapes an easy valuation.
- The company's future growth is hard to forecast because it has a number of small side-projects that could accelerate growth in the future.
- However, based on historical trends, we can arrive at a fair value estimate of $825.
- I derive my estimate based on at least five years of strong growth, which can be reasonably ascertained from Tesla's no-cost advertising - a key competitive edge.
- Despite my estimate being above the current stock price, I nevertheless rate Tesla a 'hold,' because I don't quite trust the company's accounting.
For further details see:
Tesla: Fair Value Of $825