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Evercore to CNBC's Trading Nation: 'If you want to buy Tesla stock, now's the time'

Evercore to CNBC's Trading Nation: 'If you want to buy Tesla stock, now's the time'

Although hesitant about Tesla stock last quarter due to Model 3 delivery concerns, investment bank Evercore now sees the TSLA stock chart as a buy.

https://www.cnbc.com/2018/01/10/if-you-want-to-buy-tesla-stock-nows-the-...

Side note: CNBC ran a story a few days ago regarding a statistic indicating that 15 out of the last 15 times when the S&P was up the first 5 days of the year, stocks were always up at year end. The S&P was subsequently up the first 5 trading sessions of 2018.

carlk | 10 January, 2018

Who here doesn't think the 3 will eventually be ramping up? It's challenging for sure but it's really not that a hard thing to do other than taking a longer time. TSLA stock will NOT stay at this level when that is accomplished. For those who are betting on 3 ramp up problem it's pretty clear now 300ish IS the low for the stock price when there is a ramp up problem.

Tropopause | 10 January, 2018

Agree with $300 floor price.

ReD eXiLe ms us | 10 January, 2018

carlk is correct.

Tropopause is smart.

Others have realized this and want to scare others into selling so they can buy and hold TSLA. Interesting strategy, but it won't work, just as it didn't when TSLA was at ~$215 and went above $280. A couple of years ago, when TSLA dipped below $150 per share, some rejoiced that this was finally the moment they had forecast, the bubble had burst, and Tesla was going down for good... Then they noticed it wasn't just Tesla, but the entire stock market that went down. And, since Tesla wouldn't be directly affected by the market forces that caused the panic anyway, TSLA rebounded to over $190 and then over $200 in barely a week. This shows me that TSLA is... Resilient, and it as always been Resistant to the usual dirty tricks and tactics that are designed to torpedo a stock for good.

This is why I am confident to predict, '$450 or BUST!'

Stormy Weather in $#0r+ville, indeed.

Hi_Tech | 10 January, 2018

350 by end of Feb 2018, 500 by end of Feb 2019 (after Q4 results officially released)

Tesla2018 | 10 January, 2018

I think it will drop after they report their financials next month showing that they are still losing money. I predict it will drop to around 300 and then go up to 400 about 6 months from now when everyone starts getting their cars and more people learn about Tesla and see that its not just a passing fad. If nothing goes wrong as far as recalls or major complaints by owners then it will proably hit 450 at the end of the year and maybe higher if they start taking orders for model y. I dont think the Tesla Semi will cause the stock price to go up until it starts affecting profits since the average person doesnt know a Peterbuilt from a Mack truck.

tew ms us | 11 January, 2018

Motley Fool predicts Tesla will sell stock this year:

https://www.fool.
com/investing/2018/01/06/what-to-expect-from-tesla-inc-in-2018.aspx

Seems like a solid argument to me - Tesla will need to raise money, and the debt market won't be attractive.

kzodz | 11 January, 2018

$300 isn't a floor. The floor is $20. There is a lot of Hubris at Tesla and way too often they are trying to do too much in house. Just look at Autopilot. Who needs Mobileye? We'll put in 8 times the sensors and have a superior product in months. Years later still not at par. Say what you will about GM, but the Bolt was their answer to the Model 3, and they built it @18 months before Tesla could get their act together. They are building as many as they can sell. Admittedly, not too much, but still they know how to build a car at least. (yes, I know the Bolt is ugly and has no Superchargers. That's why we are still here waiting). If you think the upside potential is worth the risk then you should invest. But don't be in denial about the risks.

Before the fanboys get their panties in a knot, for the record I own the stock and am betting on them to get their act together. But, I don't deny that they have a lot of hurdles to overcome just to reach the level of being worths todays market cap.

AJPHL | 11 January, 2018

Not sure why you’d buy at this point if not already in. Seems like while there’s some upside potential, a lot of things have to go well to realize that. As Tesla matures, expectations will be elevated, and investors will be less forgiving.

andy.connor.e | 11 January, 2018

As if there are not already elevated expectations.

nikhilm_2000 | 11 January, 2018

This will be a $1000 stock in 10 years. I said it!!

SamO | 11 January, 2018

Why so long? tripling in 10 years isn't that great.

andy.connor.e | 11 January, 2018

Tripling in general is something to be proud of.

SO | 11 January, 2018

Including splits

Carl Thompson | 11 January, 2018

@AJPHL:
"Not sure why you’d buy at this point if not already in. Seems like while there’s some upside potential, a lot of things have to go well to realize that."

A lot of things have to go well for a very long time to justify their _current_ valuation! I will be the first to admit I have no idea how Tesla stock is anywhere near where it is _now_. But even though I don't have an interest in Tesla stock one way or another as a car buyer their high stock price works out to my advantage.

ReD eXiLe ms us | 11 January, 2018

kzodz: WTF?!? '...panties in a knot...'...? You honestly believe that using such a backhanded disclaimer at the end of your tirade will save you from being set straight, or at least firmly crooked, after all that [FLOCKING BOLSHEVIK] you just spewed? Really? C'mon, MAN!

The 'floor' for any stock listed is effectively ZERO. Once it holds no value for anyone, anywhere, in any way whatsoever and is essentially worthless and the stock is delisted and the company it represents has gone out of business, then you have reached the actual 'floor'. Professional ANALysts have been predicting that fate for TSLA for at least a week before Tesla had its IPO in early July 2010. Strange they were not able to make such informed statements that far ahead for Chrysler, General Motors, or Bear Stearns prior to their respective collapses. Guys like Jim Cramer anf Cory Johnson have spent the years since constantly claiming TSLA was overvalued from the instant the IPO was announced, first expected to be around $17.00 per share, then increased to $19.00 instead. So they said it was overvalued at $25, $35, $80, $120, $150, $200, $220, all the way up to $280. Each of them would have gloriously broken both arms patting themselves on the back if TSLA had instead dropped below $2.80, $2.00, $1.50, $1.20, $0.80, $0.35, or $0.25 as they claimed was 'sane', or 'buy the numbers'. It never has though. Not even close to being the insignificant joke they made it out to be, destined for failure 'any day now, just watch'. And then recently some guy named Jim Chanos claims that TSLA is worthless, though all evidence is to the contrary of that statement. What is it with ANALysts that have the initials 'J.C.' anyway?

Sure. Let's look at Autopilot. The current version of Autopilot, based on technology from Nvidia began installations in Tesla vehicles around September 2016, two years after the original version from MobilEye in September 2016. Since it was adopted by Tesla, NVDA has gone up by about 260% and their valuation is now over $135,000,000,000. Meanwhile, MobilEye was bought by Intel for about $15,000,000,000. The 2018 Nvidia Automated Vehicles keynote at the 2018 CES was very impressive. Even when Tesla was using MobilEye hardware, the majority of the software they ran on it was their own proprietary design and pushed beyond its limits. Tesla parted ways with MobilEye when they refused to support a particular functionality, detecting cross traffic, in hardware as soon as possible. Apparently MobilEye's internal roadmap had them not finishing that until sometime in 2021 or later. Nvidia as expressed no such concerns and isn't throttling their support of autonomous driving systems at all. In any case it as barely been 18 months since it became clear Tesla would go with someone other than MobilEye, we are not 'years later' at all per your characterization.

The BOLT that was released in November/December 2016 is a completely different design than the glowing Orange show car from January 2015. It appears to my eye to have been intended as an ICE or ICE Hybrid competitor to cars like the Honda FIT and KIA SOUL. Amazing that GM tries to call it a 'Crossover', when it has no AWD version and its official EPA Classification is 'Small Station Wagon' (just like the Honda FIT, which is slightly arger by volume and absolutely not marketed as a Crossover at all). When Tesla started making waves, GM shifted gears, cobbled together something that could be assembled side-by-side with the new SONIC ICE platform while sharing components with it, dusted off plans for an electric motor and made a deal with LG to build that and other elect t onic components, had those parts shipped to a Michigan plant where they were assembled (never mind that GM shut down the internal department that had designed the motor and had its own domestic manufacturing facility). Please note that at the NAIAS in early 2015 it was called 'BOLT', but by the 2016 show it had been rebadged 'BOLT EV' instead (reminds me of how there was the ICE based SPARK, and a battery operated SPARK EV). I wouldn't doubt GM has tentative badging and drivetrains designed for 'BOLT Hybrid', 'BOLT EREV', and 'BOLT PHEV' -- 'just in case' the BOLT had somehow accidentally become a hit -- much the same way there are alternative versions of the PRIUS (though all of them burn gasoline).