Tesla Stock Forecast 2023: Will Tesla Reach $200?
Tesla Stock Forecast 2023 Aggregated Forecasts predict a price of $242 for the year. Tesla Stock Forecast for the next 12 months is $186.
Latest Tesla Stock Price
Tesla Stock vs NASDAQ 100 Performance in 2022
- Last 1 Month: +70.1% (+15.2%)
- Last 6 Months: -37.6% (-4.5%)
- 1 Year: -36.1% (-13.3%)
Tesla Stock Targets for the next 12 months: Analysts
|Average Tesla Stock Predictions for the next 12 Months||$186|
|Cowen & Co.||$140|
Tesla Stock Targets for the next five years: Aggregated*
Tesla Stock Price Prediction 2023 is $253
Tesla Stock Price Prediction 2024 is $318
Tesla Stock Price Prediction 2025 is $360
Tesla Stock Price Prediction 2026 is $435
Tesla Stock Price Prediction 2027 is $469
Long-term forecasts are never perfect and usually unreliable as there are too many variables. Most of the time they may be correct directionally.
Tesla Stock Prediction: Technical Analysis
Tesla investors have had one of their best times in the last 1 month. TSLA is witnessing a positive response from investors. TSLA price has surged for most of the trading days of January 2023. TSLA shares went on the verge of crashing below $100 on the 4th trading day of this year but since then the price has been surging.
Tesla recently printed its fourth-quarter financial results, which was better than expected. The traders and investors were concerned about Tesla’s revenue but the result sent the TSLA stock price zooming higher. (Read the TSLA Q4 Result Here)
Here is the performance of Tesla Stock on the Last Day
- Open Price: $188.27
- Close Price: $189.98
- Gain/Loss: +0.91%
- Overall Market Cap: $601.1 B
The Tesla Stock Price has been surging but failed to break above $200 by the end of the first week of February 2023. On the above chart, Tesla is bullish and the candlesticks look good and show a market that is on the move. The large green candle is followed by two smaller candles, this indicates a continuation and the TSLA stock price is likely to rise on the next trading day.
This bullish signal for Tesla is backed up by the 50-day moving average below the net Tesla stock price. The Tesla stock price has support at around $177 while the resistance is $201. Breaking above this support will take the TSLA stock higher and retest the 200-day Moving average which is around $230.
Tesla has been moving within the bullish zone but has failed to break above the 200-day Moving average. Despite gaining massively, Tesla is around 50% lower than its 52-week high price which is $384.29.
The RSI for TSLA is within the over-purchased territory. After testing the 14-day MA the RSI surged. The RSI consolidation is likely on the card but with the current momentum, the RSI is likely to extend further up within the over brought territory.
Technically, Tesla is bullish for the next trading day.
The most bullish signal for Tesla is the volume. The trading volume for Tesla Motors has spiked over the past few days and it is likely to rise higher. The increase in volume is an indication of more buyers entering the market. The MACD series proper for Tesla is within the bullish zone. It is above the 9-day EMA. The signal is a buy.
The Stochastic RSI for TSLA is also throwing a bullish signal. The Stoch RSI is now above the 14-day MA and it is within the over brought zone.
Overall Tesla is technically bullish.
Check our other Stock Forecasts below
- Q4 Revenue at $24.3B, up 37% Over Q4, 2021
- Total GAAP Gross Margin at 23.8%, down 360bp over Q4, 2021
- EPS (GAAP) at $1.007, up 57% over Q4, 2021
- Annual revenue at $81.5B, up 51% over 2021
- Total Gross Profit at $20.8B up 53% over 2021
- Annual EPS (GAAP) at $ 3.6, up 122% over 2021
- Total Cash, Cash Equivalents, and Investments at $22.2B, up 25%
- FSD revenue at $324 Million in Q4
- Tesla Energy Deployments are up 152%
- 395 new Supercharger locations
Other highlights of Tesla’s performance and plans for this year (Earnings Call)
- Total Delivery for 2022 at 1.3 Million
- Cybertruck is likely to commence production in the Summer but is unlikely to contribute significantly to revenue
- Tesla’s cost of production is falling both in the Texas and Berlin factories
- January orders are at an all-time high
Tesla Stock Forecast: Latest News
- Price of Used Tesla Car Falls Massively: In the last few months, the price of Tesla cars has gone a massive cut. Tesla cars being sold in China have seen more price cuts to lure customers. In accordance with the price cuts of new Tesla cars, the used Tesla cars are now valued at 26% less than what it was valued around 6-7 months ago. According to a survey by CarGurus, the average price of a used Tesla has fallen from $67,915 back in July 2022 to $49,967 today.
- Tesla is now ahead of BMW in terms of Top-selling Luxury Brand: Tesla recently ousted BMW as the top-selling luxury brand. As per Brand Finance’s report, Tesla is now ranked second on the list. The report suggests that luxury car brands must be environmentally friendly. Therefore, considering this criterion, Tesla is ahead of BMW now.
- Tesla reported record production and deliveries for fourth-quarter electric vehicles. In the fourth quarter, Tesla reported deliveries of 405,278 vehicles and production of 439,701 vehicles. However, Tesla missed the Wall Street expectations of 431,117 vehicles. In 2022 Tesla delivered around 1.31 million vehicles. This was 40% more than 2021 deliveries which were 936,172 vehicles.
Is Tesla a good stock to buy?
Yes, Tesla is a good stock to buy. Here is what is going in favor of Tesla
- Outstanding R&D and Execution capability. The company has delivered numerous innovations and has produced its way around chip shortages quite efficiently. Tesla managed Chip shortages by replacing the chips with substitutes and rewriting its firmware. This enabled Tesla to manage production way more efficiently than most Manufacturers.
- Twitter Inc is just a legal case and won’t hog Musk’s time: While there was a legitimate concern around how much time Musk would give Twitter, with him pulling out of the deal, Musk’s attention will not be divided away from Tesla and SpaceX
- With the stock split, TSLA is much more liquid now and available at a lower price (if not value). It has strong institutional support as well.
- EV as a sector will continue to grow and Tesla will be a huge beneficiary.
Will Tesla Recover? Key Metrics
- Tesla is currently operating at 33.6 PE
- 2023 Sales are likely to be 50% higher despite the many macro challenges
- Analysts are predicting a price target of $205 at the moment
- Tesla is currently performing on par with leading EVs despite being an innovation leader
- Musk’s comments on Twitter appear to be hurting Tesla in the United States much more than the rest of the world. Net Social Media Sentiment compared with iPhone (common benchmark)
- Asia – Tesla: 88%, iPhone: 22%| Tesla+66%
- Europe – Tesla: 62%, iPhone: 25%| Tesla+37%
- United States – Tesla: 34%, iPhone: 22%| Tesla+12%
Overall, Tesla should recover over the next few months. However $TSLA social media sentiments continue to remain Negative implying downward pressure on price for the moment.
Will Tesla Stock Recover? Factors that could help Tesla
Tesla is the largest electric automaker in the world and is one of the most profitable ones. It reported a net profit of $8.9 billion in the first nine months of 2022 more than General Motors did. But the stock has had a dismal performance for the reasons stated above. Now for the share price to recover in the upcoming months, the following are the most discussed measures
- Musk sold $40 billion of Tesla shares last year. Formally adopt the 10b5-1 plan so that investors have confidence that there is no major share selling happening soon.
- Come up with a conservative target plan for 2023 like 35% growth and outperform that number. 50% growth is not happening in a challenging macro environment in 2023.
- Elon Musk should appoint a new CEO for Twitter and spend as much time as possible on Tesla.
- The company should come up with a share buyback program as it has been a cash cow and a buyback program boosts the confidence of investors.
Will Tesla Stock Recover? What Led to TSLA Stock Crash Recently?
- Rise in Interest Rates: The Fed has been increasing interest rates over the last few months sucking out liquidity from the markets. This has impacted high-growth stocks like Tesla much more than Traditional companies
- Shut down of Shanghai Factory- Tesla had projected a 50% annual growth rate in 2022. But the company could not achieve the production volume. The Shanghai factory which contributes to almost 40% of the total production had to be temporarily shut down because of rising Covid cases. Tesla also has issues with the new factories that have come up in Germany and Texas and is struggling to increase production. Electric car makers lowered the full-year guidance in October.
- Unorthodox Behavior of Chief Executive Elon Musk- Poor financial results were more common with companies in 2022. But unorthodox behavior of Tesla’s CEO Elon Musk is considered one of the main reasons for the underperformance of Tesla as compared to the broader market. His involvement in Twitter Inc is questioned by many critics. While Musk has been actively involved in Twitter, it is seen as a distraction by many. More importantly, he has tarnished the image of Tesla shares by selling them continuously to buy out Twitter for $44 billion.
Tesla Stock Forecast: Frequently Asked Questions (FAQ)
Should I buy Tesla Stock Now?
Tesla has underperformed in 2022, with share price being about 46% lower since the start of the year. The main reason is Tesla shares are “expensive” in this high-inflation market. There were also issues in the supply chain, increasing production costs and below-par deliveries.
But a significant reason is also undelivered promises from CEO Elon Musk. A lot of promises are again made for 2023, and it will be again a test for the CEO to live up to the expectations. But Tesla is still not on the buy list for 2023, simply because it is overvalued and with a concrete future as long as Elon Musk does not lead from the front.
Will Tesla Stock Go Up?
Tesla shareholders did not have a good experience in 2022. The share price which initially reached over $400 started to retreat massively and now it is trading below $200. Multiple factors have contributed to the decline of Tesla’s share price which includes both Internal and external factors. Therefore, for Tesla’s stock price to go up the overall market condition needs to improve.
How much will Tesla Stock be Worth in 10 Years?
Considering the volatile nature of the Tesla stock it would be highly difficult to predict the 10-year price of Tesla stock. However, taking the forecast by multiple platforms into consideration, 10 years from now, Tesla’s Stock price could be $687.
What is the best time to invest in Tesla stock?
The best time to invest in Tesla stock would be in the last week of January or after January 2023. The reason behind this is that the Q4 earnings report is expected to be released in the last week of January 2023. A positive report will help the Tesla stock rise while a negative report could take the share price to slide. Thus, the best time to invest in Tesla stock will be after the Q4 reports of Tesla are published.
How High Will Tesla go?
There is a wide range of long-term forecasts for Telsa price (TSLA). Some forecasts estimate Tesla to be worth 10-12 times higher in the next 8 years. Others are more conservative at 6-8 times over the next 8 years. Tesla has numerous advantages going for it – EV penetration is only going to increase, TSLA will play in more segments than currently present, and TSLA will enter new categories related to Tesla’s current strengths. On the other hand, risks include increased competition, supply chain issues, and global macroeconomic issues. Elon Musk’s Twitter ownership is also a potential risk at the moment.
Tesla Stock Forecast 2023: Positives and negatives
Here are other specific Positive and negative factors
- Starlink Project: For the past many years, Elon Musk has been working on the Starlink project with the intention of providing internet to the remotest space on earth by a network of private satellites in the orbit. It picked up pace in 2021, and Starlink now has more than 2000 satellites to boost. Musk Tweeted that TSLA shareholders may benefit from the Starlink IPO.
- China: China is a huge market for Tesla and EVs in general, and according to estimates, China will represent 40% of deliveries for the EV maker in 2022, contributing nearly $400 to its share price. If China’s market is handled properly, it could be a big tailwind for Tesla.
- Gigafactories in Berlin and Austin: The new gigafactories in Berlin and Austin in 2022 will provide a big boost to production.
- Interest rates and other economic factors: The Fed has twice increased rates even as there are no signs of the global economy recovering soon. While US inflation may continue to fall, an escalation in Ukraine could pose a huge risk to Global economies.
- Competition: While Tesla is the undisputed leader of the EV market in the world, a range of competitors are lined up to take a bite out of Tesla. Ford, NIO, LUCID, and VIVIAN to name a few.
- Regulations, fees, and fines: Lately, Tesla has not been a darling of regulators, and heading into 2022, it could mean trouble for Automaker. There may be various fines and fees involved and potential scrutiny in the expansion plans of Tesla, as China’s plan is not liked by many in the US and increased regulatory scrutiny affects the cash flow and production efficiency, to say the least
Please do your own research before any investment decision.
Note: Crowdwisdom360 collates Predictions and data from all over the net and has no in-house view on the likely trends in the Stocks or Crypto Coins. Please consult a registered investment advisor to guide you on your financial decisions.