Many Tesla detractors contend that Tesla stock (NASDAQ:TSLA) price is unsustainable and that the corporation, headed by Elon Musk, is deceptive.
In recent years, Tesla has traded like a meme stock. Over the last 36 months, Tesla stock (NASDAQ:TSLA) has recovered almost 1655%.
Critics of Tesla Stock
Tesla stock (NASDAQ:TSLA) has thousands of supporters, but it has also drawn a lot of flak for its automobiles, business operations, and stock price.
TSLAQ, an online club of Elon Musk detractors and Tesla short sellers, aims to “influence the minds of Tesla stock supporters and the media.” The group shares its thoughts and analyses on Tesla stock (NASDAQ:TSLA) on social media venues such as Twitter and Reddit.
There are also some well-known market critics. Danny Moses, the former chief trader at FrontPoint Partners (and a character in The Big Short), declared a short position in Tesla a few months ago.
Tesla, according to Moses, embodies everything wrong with the market. The market has disregarded poor profit reports, waves of layoffs, and the reality that salaries are falling behind inflation. Tesla was dubbed “the first meme stock” by Moses because its stock price does not correspond to its fundamentals.
Is Tesla Stock a Meme?
Meme stocks often have many crucial qualities. These include overpriced shares, unpredictable share prices, and a high level of popularity among individual investors.
Tesla stock (NASDAQ:TSLA) checks some of these criteria. TSLA seems to have stretched value multiples. Tesla now has a price-to-earnings ratio of 91x, which is 850.51% more than the industry average.
But it’s crucial to remember that Tesla stock (NASDAQ:TSLA) is valued for its highly promising growth potential. Although the electric vehicle (EV) business is still in its early stages, Tesla is the world’s biggest EV manufacturer. It might be at the helm of the most significant revolution in the car business since the 1950s.
Tesla’s recent track record has likewise been outstanding. Sales have increased by 46% on average during the previous five years. In comparison, the industry as a whole fell 2.7% over the same period.
This helps to explain Tesla’s remarkable 1081% share price gain over the last five years.
Whether it’s a Meme stock or not, Wall Street experts are bullish on Tesla Stock.
Whether Tesla is a joke or not, Wall Street professionals believe the firm is genuine. The stock is rated as a “moderate-buy” by the majority of analysts.
Among the thirty analyst ratings issued in the previous three months, eighteen think Tesla is a buy, six are neutral, and just five say it is a sell. The average Wall Street price estimate for Tesla stock (NASDAQ:TSLA) is $312, representing a nearly 10% increase from the most recent share price of $288.59.
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Author Okoro Chinedu 
