TSLA Stock is Still Too Expensive

2023年2月10日

We have seen massive drop in TSLA stock last year. However the price has not come down the the normal range yet. TSLA is still traded more than 10x of book value. I am using Stock Value Rainbow to evaluate stock valuation based on book value, earning, dividend and cash flow. The rainbow color depict the multiples values of all these four factors sum up together. The rainbow above the gray lines represent 1x, 2x, 3x, .., 10x of stock value. While rainbow below the gray line represent 0.8x, 0.6x, 0.4x, 0.2x stock value. The higher the value the more expensive the stock, the lower the value the cheaper it is according to these fundamental or financial valuation metrices. Look like TSLA stock still prone to valuation squeeze if the economy is going into recession. So take some precaution if you decided to enter into it.