From Nasdaq: 2025-04-15 04:41:00

Investors who got in on Tesla (NASDAQ: TSLA) early have seen a 1,690% return in the past decade, turning it into one of the world’s most valuable companies. However, the stock is currently trading 47% below its December 2024 record.

Despite its tech image, Tesla is starting to resemble a traditional auto manufacturer, facing increased competition and changing macroeconomic forces. Revenue and profitability have taken a hit, causing concern among long-time Tesla bulls.

Tesla’s valuation remains high, with a price-to-earnings ratio of 123.5, indicating market optimism. The stock is considered a “story stock,” heavily influenced by CEO Elon Musk’s ambitious plans for the future, including a global robotaxi service.

While Tesla’s future is uncertain, investors remain bullish. However, with challenges ahead and a rich valuation, some suggest prospective investors should steer clear, and existing shareholders should consider selling.

For those who missed out on investing in successful stocks like Nvidia, Apple, and Netflix early on, there may still be opportunities to double down on upcoming companies. Stock Advisor is issuing “Double Down” alerts for three promising companies, offering a potential second chance for lucrative investments.



Read more at Nasdaq: Down 47%, Is Tesla Stock a Buy, Sell, or Hold in April?