Asian shares edged higher on Monday as demand for tech stocks buoyed Japan's market, while a data-packed week promises to be pivotal in the outlook for the Chinese economy and U.S. interest rates.
(RTTNews) - Automotive major Tesla Inc. (TSLA) said Sunday that it delivered 466,140 vehicles, an increase of about 83% from 254,695 vehicles last year.
Tesla Inc on Sunday said it delivered a record number of vehicles in the second quarter, topping market estimates as price cuts and U.S. federal credits helped make its electric vehicles more affordable.
Tesla Inc on Sunday delivered a record number of vehicles in the second quarter, topping market estimates after the electric carmaker increased discounts and incentives.
Stocks and volatility go together like peanut butter and jelly; it's just the cost of entering the arena. Even the market's biggest winners, like electric vehicle (EV) and technology company Tesla (NASDAQ: TSLA), aren't immune.
Below is Validea's guru fundamental report for TESLA INC (TSLA). Of the 22 guru strategies we follow, TSLA rates highest using our Small-Cap Growth Investor model based on the published strategy of Motley Fool. This strategy looks for small cap growth stocks with solid fundament
There's no two ways about it: Last year was a challenging one for investors, marked by high inflation, rising interest rates, and the worst stock market decline in more than a decade. It appears the tide has turned, however, with each of the major indexes rising more than 20% fro
Investors have seen Tesla's (NASDAQ: TSLA) massive success and begun looking to Rivian (NASDAQ: RIVN), Lucid (NASDAQ: LCID), Canoo (NASDAQ: GOEV), and even more for similar gains. It hasn't worked out so far, and legacy auto has finally started fighting for its share of the EV pi
U.S-.based
electric vehicle (EV) maker Rivian Automotive (
NADSAQ:RIVN
) recently joined General Motors (
NYSE:GM
) and Ford (
NYSE:F
) in collaborating with Tesla (
NASDAQ:TSLA
) to adopt the
Elon Musk-led company’s supercharger network.
The news boosted investor sentiment, with Rivian shares rising 23% over the past five days. However, the stock is still down about 10% year-to-date. Wall Street is cautiously optimistic on Rivian due to macro uncertainty, intense competition, and company-specific risks.
Rivian is Facing Multiple Headwinds
Rivian stock has declined significantly from the peak levels seen in November 2021, when it made its public debut. Execution issues, supply chain bottlenecks, competition, and macro pressures impacted the stock’s performance.
Moreover, investors are worried about the significant cash burn, as Rivian continues to invest in production ramp-up. The company’s negative free cash flow increased from $4.4 billion in 2021 to $6.4 billion in 2022. In the first quarter of 2023, Rivian’s negative free cash flow came in at $1.8 billion, up from $1.45 billion in the prior-year quarter.
Rivian currently manufactures R1T pickup trucks, R1S SUVs, and electric delivery vans (EDVs) for Amazon (
NASDAQ:AMZN
) under an agreement to deliver 100,000 EDVs. In the first quarter, the company produced 9,395 vehicles and delivered 7,946 units. A
596% jump in revenue to $661 million helped in lowering the
adjusted loss per share to $1.25 from $1.43 in the prior-year quarter.
While Rivian reaffirmed its full-year production outlook of 50,000 vehicles, critics doubt its ability to meet its target, given the underwhelming performance last year when the company slashed its initial production guidance by half to 25,000 units.
Is Rivian a Buy, Sell, or Hold?
In a research note to investors on June 20,
Mizuho analyst Vijay Rakesh said that Rivian continues to execute well with solid demand and ramping of its Normal, Illinois Facility. However, the analyst lowered his estimates for deliveries in 2024 and 2025, noting “production changeovers” due to the adoption of in-house motor Enduro and lithium iron phosphate (LFP) battery pack.
The analyst noted that Rivian remains focused on being gross margin-positive in 2024, driven by higher volumes, increased pricing, lower raw material costs, and structured contracts with suppliers. Rakesh lowered his price target for
Rivian stock to $27 from $30 and reiterated a Buy rating.
Wall Street’s Moderate Buy consensus rating on Rivian is based on eight Buys, four Holds, and two Sells. The average price target of $21.93 implies nearly 32% upside.
Conclusion
Rivian is confident about producing 50,000 EV units this year. Wall Street’s average price target indicates an attractive upside to the stock. However, concerns over execution, the impact of intense rivalry in the EV space, and macro headwinds could impact investor sentiment for RIVN.
Disclosure
Today, I share the seven best stocks to buy in July 2023, which I believe have significant upside for long-term investors. I provide a blend of stocks, from hypergrowth stocks to mature growth stocks, that are opportunities for growth investors.
In this week's video, I cover need-to-know news items related to Tesla (NASDAQ: TSLA) during the week of June 26. Today's video will focus on more automakers adapting the Tesla NACS connector, Tesla's sales numbers in Europe and China, Tesla advertising, and end-of-quarter invent
A group of EV charger makers and operators is pushing back against Texas' plan to mandate the inclusion of Tesla technology in charging stations, saying it is "premature," according to a document seen by Reuters and a source aware of the matter.
A group of EV charger makers and operators is pushing back against Texas' plan to mandate the inclusion of Tesla technology in charging stations, saying it is "premature," according to a document seen by Reuters and a source aware of the matter.
Investors were in a good mood on the last day of June, and major market indexes pushed their way higher by as much as 1.5%. With the gains, the Nasdaq Composite (NASDAQINDEX: ^IXIC), S&P 500 (SNPINDEX: ^GSPC), and Dow Jones Industrial Average (DJINDICES: ^DJI) all posted soli
Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the ProShares UltraPro QQQ (Symbol: TQQQ) where we have detected an approximate $229.4 million dollar inflow -- that's a 1.3% increase week over week in
Sometimes the stock market can really make you scratch your head. As investors, we’re used to being always told to follow a trend, buy into a good thing, don’t catch the falling knife. This is why the recent run of downgrades to Tesla Inc’s (NASDAQ: TSLA) stock is so perplexing.
Investors looking for stocks in the Automotive - Domestic sector might want to consider either General Motors Company (GM) or Tesla (TSLA). But which of these two companies is the best option for those looking for undervalued stoc