Tesla (NASDAQ:TSLA) closed the most recent trading day at $346.05, moving +0.47% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.22%. Elsewhere, the Dow gained 0.59%, while the tech-heavy Nasdaq added 0.16%.
Prior to today's trading, shares of the electric car maker had gained 2.2% over the past month. This has lagged the Auto-Tires-Trucks sector's gain of 5.09% and outpaced the S&P 500's gain of 0.49% in that time.
TSLA will be looking to display strength as it nears its next earnings release, which is expected to be February 6, 2019. The company is expected to report EPS of $2.13, up 170.07% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.01 billion, up 113.29% from the year-ago period.
Any recent changes to analyst estimates for TSLA should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. TSLA is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that TSLA has a Forward P/E ratio of 58.9 right now. This represents a premium compared to its industry's average Forward P/E of 10.28.
Meanwhile, TSLA's PEG ratio is currently 1.68. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. TSLA's industry had an average PEG ratio of 1.29 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 46, putting it in the top 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow TSLA in the coming trading sessions, be sure to utilize Zacks.com.
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