Visit eToro now<\/span><\/a><\/div><\/span><\/span><\/p>\nYour capital is at risk. Other fees apply. For more information, visit etoro.com\/trading\/fees<\/span><\/span><\/em><\/p>\nStep 2 - Research Tesla Stock<\/h2>\n
Of course, just because you've come across news that Tesla stock is on the rise, or someone has suggested you buy it, doesn't mean you should. Yes, many would recommend buying Tesla stock right now, but you might just as easily be advised to buy another company that isn't doing so well.<\/span><\/span><\/p>\nIn other words, knowing how to buy Tesla stock isn't enough. Never invest blindly without knowing what you're investing in. Research the stocks you're interested in using the same approach as in the following Tesla example.<\/span><\/span><\/p>\nWhat is Tesla?<\/span><\/span><\/strong><\/h3>\n
Obviously, the first thing to do is learn more about the company whose stock you're considering investing in. Tesla is quite famous these days, and you've probably heard of it. However, we'll treat this example as if it were any other company.<\/span><\/span><\/p>\nTesla is an American company specializing in electric cars and clean energy. It is based in Palo Alto, California, although it plans to relocate its headquarters to Austin, Texas. The company designs and manufactures electric vehicles, solar panels and solar roof tiles, energy storage batteries, from those you can use at home to those used in large power grids, and much more.<\/span><\/span><\/p>\nThe company has made headlines several times in 2021, first for accepting BTC payments, then backtracking because Bitcoin wasn't eco-friendly, and now for its massive stock surge that has seen it reach a new ATH.<\/span><\/span><\/p>\nTesla Stock Price History<\/span><\/span><\/strong><\/h3>\nKnowing when to invest, when to buy, and when to sell Tesla is important. However, for a meaningful Tesla stock forecast in 2022, you also need to know its history. Past performance of price, market capitalization, and earnings per share are essential for understanding price behavior and making a good forecast.<\/span><\/span><\/p>\nTesla's Nasdaq price has come a long way in a very short time. For the past decade, starting in 2010, the stock has been rising, but extremely slowly. It took 10 years to reach a valuation of $70, starting at $3 in 2010. However, at the end of 2019, it began to grow, and this growth continued in 2020 and beyond. In 2021, it reached an ATH of $880 in January, only to fall back to $600 due to a resistance level.<\/span><\/span><\/p>\nFollowing this event, it attempted another rally in April, which failed due to another sharp drop in price. However, starting on May 14, 2021, TSLA's price continued to climb, with particularly strong growth in October. Between October 1 and the time of writing (November 3), the price rose from $775 to $1,208, breaking the previous ATH and setting a new one on November 1.<\/span><\/span><\/p>\nTesla's Fundamentals<\/span><\/span><\/strong><\/h3>\nThe company's fundamental analysis is also very important when making a Tesla forecast. According to reports from the summer of 2021, Tesla's fundamentals have improved significantly over the past year and a half. The second quarter of this year gave investors plenty of reasons to be rather satisfied. The company posted a record quarterly net profit of $1.1 billion, significantly exceeding estimates. It also increased by 813% compared to the second quarter of 2020.<\/span><\/span><\/p>\nThe company has been moving forward rapidly, striving to achieve its goal of increasing production by 50% each year. So far, it's on track to achieve this in 2021, and new factories are even being built.<\/span><\/span><\/p>\nIn other words, Tesla is booming, as interest in electric cars and green energy production continues to explode. As a result, it is now one of the most successful companies and the largest and most successful automaker in the world.<\/span><\/span><\/p>\nTesla Dividends<\/span><\/span><\/strong><\/h3>\nAccording to its own website, Tesla has never paid dividends on its common stock. It intends to retain all of its profits to fund future growth and, therefore, does not plan to pay cash dividends to its shareholders in the near future.<\/span><\/span><\/p>\nTesla's ESG Breakdown<\/span><\/span><\/strong><\/h3>\nESG is another factor that many investors\u2014especially institutional investors\u2014consider when evaluating a stock and deciding whether or not to invest. Knowing the ESG ratio and what to expect can certainly help them with their Tesla predictions. The acronym ESG stands for Environmental, Social, and Governance. Tesla's environmental risk score is 3, its social risk score is 17, and its governance risk score is 10.<\/span><\/span><\/p>\nThis indicates that Tesla still faces social and governance issues, which remain major hurdles and have been for some time. The company is far from being an ESG leader, although this doesn't seem to have prevented it from achieving success.<\/span><\/span><\/p>\nTesla Stock Forecast<\/span><\/span><\/strong><\/h3>\nStock price forecasts are also among the most crucial elements to analyze. When it comes to Tesla's stock price forecast for 2022, analysts have set a median target of $776, with a high estimate of $1,591 and a low estimate of $67. This is a fairly wide gap, indicating that Tesla's stock price is unstable and that analysts believe anything can happen.<\/span><\/span><\/p>\nElon Musk Biography<\/span><\/span><\/strong><\/h3>\n
Elon Musk is a South African-American entrepreneur known for founding Tesla Motors and SpaceX. Previously, Musk also founded X.com, now known as PayPal. He became a multimillionaire in his late twenties after selling another startup called Zip2 to a division of Compaq Computers.<\/span><\/span><\/p>\nIn January of this year, he also briefly overtook Jeff Bezos as the world's richest man, although Bezos has since reclaimed that title.<\/span><\/span><\/p>\nThroughout his life, Musk dreamed of various inventions, sometimes getting so lost in his thoughts that his parents decided to have him tested for hearing. He developed an interest in computers around the age of 10, and by the age of 12, he had already sold his first software program. It was a game called Blastar.<\/span><\/span><\/p>\nSince then, the genius inventor has continued to come up with all sorts of ideas and solutions, and he currently runs several companies, including SpaceX, Tesla, and The Boring Company. He is also very concerned about the future, especially when it comes to the quality of human life. This is why he is working on projects involving clean energy. Potentially, however, his greatest goal is to bring people to Mars and create a colony there, ensuring that humans officially become an interplanetary species. Because of this aspiration, he has been the subject of numerous interviews and podcasts.<\/span><\/span><\/p>\n