Tesla Soars 25%, But One Investor Warns It's Still Overvalued

Faizan Farooque

Mon, May 12, 2025, 1:50 PM 1 min read

Tesla (TSLA, Financials) conscionable got a large boost aft its net call, but not everyone is buying the comeback story. One capitalist says the marketplace is inactive getting up of itselfand he's staying connected the sidelines.

Elon Musk grabbed headlines past period erstwhile helium said he'd walk little clip successful authorities and much clip moving Tesla. That seemed to beryllium each Wall Street needed to hear. Since that April 22 net call, Tesla shares are up 25%.

But nether the hood, the communicative is much complicated. Tesla's EV deliveries really fell 13% twelvemonth implicit yearhardly origin for celebration.

That's wherefore a well-followed capitalist known arsenic Semiconductor Analyst isn't joining the bulls. He ran the numbers and came up with a just worth of conscionable $205 per share$165 for the halfway EV business, and $40 for the vigor division. He didn't origin successful futuristic bets similar robotaxis oregon humanoid robots, saying they're conscionable excessively speculative for now. I effort not to see businesses that don't adjacent beryllium yet successful my valuations, helium explained.

His bottommost line: Tesla's banal whitethorn beryllium flying high, but the fundamentals don't enactment it. He's calling the banal a Hold.

Tesla has ever had its ain playbook, and immoderate accidental a large portion of its valuation is the Musk premium. But with slowing maturation and rising competition, this could beryllium a infinitesimal for investors to instrumentality a person look astatine the existent numbers.

• See what Tesla insiders are doing.

• Compare TSLA's valuation with the Peter Lynch chart.

This nonfiction archetypal appeared connected GuruFocus.