Tesla Stock Price Prediction 2030- Is Tesla Stock a Good Investment?

11/18/2022By: C, Fiona

 

Due to persistent worries about the company’s future, Tesla’s stock price has been consolidating for the previous few days. With a current price of $190, the stock is trading at a discount of 40% from its October high. It lags behind the Dow Jones and Nasdaq 100 indices, which both had their best month since 2020 in October. Tesla’s stock price has also trailed behind those of other major technological businesses.

 

Latest Updates on Tesla Stock

 

Tesla has been in the news frequently during the past few months. Additionally, the majority of reports concerning the firm’s performance have been negative.

 

At the outset, it seemed certain that Elon Musk will purchase Twitter. Musk will then lead three major corporations as CEO (Tesla, SpaceX, and Twitter). So, it’s questionable if he’ll be up to snuff in these parts.

 

More than 343,830 Tesla vehicles were delivered in the third quarter, an increase of around 42% year over year, the company stated. Not only was this figure better than the company’s own projections for the first quarter, but it was also 310,000 units higher. This indicates that the company’s pricing increases are not significantly affecting its revenue. Experts, however, predict that things will only worsen in the weeks and months ahead.

 

Elon Musk, on the other hand, has lately stated that the company is “incinerating money” due to rising operating expenses. At the end of the day, the company has formidable rivals such as Ford and General Motors.

 

Approximately 54,000 Tesla vehicles were recalled recently after the firm discovered a software bug. The problem is that the autos may ignore traffic signals if the bug persists. However, the stock price of TSLA is likely to be very mildly affected by this recall.

 

At the same time, Tesla kept expanding its network of supercharges in China, one of its most important markets.

 

Finally, Tesla said it would reduce prices by 9 percent in China because to falling demand. The cut occurred after Musk expressed concern about a slowdown in the Chinese economy.

 

What is Tesla’s Market Value?

 

Market capitalization is a way of measuring how much money investors are willing to put into a firm. It is determined by multiplying the current stock price by the total number of shares in circulation. For instance, Tesla has 1 billion shares outstanding, as reported by Yahoo Finance. At today’s $197 per share pricing, Tesla has a market cap of $622 billion.

It’s Elon Musk, of course. Inheriting a Tesla

Tesla’s largest stakeholder is the company’s founder, Elon Musk. Bloomberg estimates that Musk currently holds 175 million shares of Tesla, despite his recent sales. As a result, his overall ownership is worth more than $95 billion, or 17.6 percent of the company.

 

In addition to his billions in stock profits from last year, he also has billions in cash. Most notably, he is enthusiastic about SpaceX. According to recent estimates, Elon Musk is the world’s richest man, with a net worth of approximately $187 billion. While still a billionaire, he has lost roughly $87 billion of his fortune this year alone, as reported by Bloomberg. Additionally, he has used stock-based loans to finance the purchase of Twitter.

Is it Wise to Invest in Tesla?

 

Although Tesla’s stock price is high, there are positive indicators that make it a worthwhile investment. First, it has a sizable portion of the rapidly expanding electric vehicle (EV) market. Despite competition from new entrants, Tesla continues to dominate the market. See Tesla’s percentage of the EV market in the pie graphic below.

 

Furthermore, Tesla enjoys a number of advantages that rivals such as Rivian, Lucid, and Nio do not. To begin, it has production facilities in all the key regions for the business. It runs businesses in the Chinese market, the American market, and the German market. This allows it to produce and sell vehicles more quickly than its competitors.

 

Third, Tesla already has the foundation it needs to dominate the electric vehicle market. For instance, its supercharger network is unparalleled. Because of the very real problem of range anxiety, this support system is crucial.

 

Additionally, as the only profitable firm in the EV industry, Tesla stock is a solid investment. The road to profitability is long for companies like Lucid and Rivian. First and foremost, no other company can match the sophistication of Tesla’s software. Take a look at the chart below to get an overview of Tesla’s most important profitability indicators.

 

 

Tesla Stock Price Prediction 2022

 

Investors should expect Tesla shares to rise to $420 by 2022.

 

On a daily chart, it’s easy to see that the price of Tesla shares created a double-top pattern around $1,200. In this style, the bottom line was around $884. According to the principles of price action analysis, this formation is a signal of impending more weakness.

 

At closer inspection, it is clear that the stock has been having some trouble breaking the chin region in the recent past. And yet, it has made it through the barrier. The share price is currently at the 200-day moving average (MA), below the 50-day MA, and trending downward.

 

Thus, given the continued concerns regarding the Federal Reserve, a death cross may be formed in the shares within the next few months. If this occurs, the next important support level is at $790. Assuming it breaks below that level, the next possible stop is around $563.

tesls stock price

 

Tesla Stock Price Prediction 2025, 2030

 

By the time we reach 2025 or 2030, I think TSLA stock will have skyrocketed from its current price. As the world transitions to electric cars, the company will be very successful at that time. Wallet Investor’s experts believe the stock will be worth more than $2,500 by 2025, as depicted in the table below. Cathie Wood forecasts that the stock price will rise to more than $3,000 by 2030.

 

tesla stock 2025 forecast