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Tesla ‘egregiously overvalued’ as Elon Musk’s company loses $188billion in value

Tesla is “egregiously overvalued”, an expert has claimed as the company loses $188billion in value.
Tesla’s stock price dropped almost 23 percent since the start of this year amid concerns about China’s economy and electric vehicle sales around the world.
Seth Goldstein, an equity strategist for Morningstar, said last month: “I think the market is trying to price in growth rates for next year and might be assuming that slowing EV sales will translate to slowing Tesla sales.
“Because Tesla is such a high-growth stock, even small revisions downward can have a large impact on its valuation.”
Roth MKM analyst Craig Irwin has also told Business Insider that Tesla is “egregiously overvalued” putting its share value at around $85.
Musk and Tesla have been hit with other setbacks in recent months that have raised questions about the company’s future.
READ MORE: Tesla cancels $16K pie order at last minute leaving baker distraught 
Chinese electric car manufacturer BYD overtook Tesla as the world’s top-selling electric carmaker earlier this year.
Musk also had his $55billion pay annulled after a judge ruled this was an overpayment.
Musk responded to the judgment with a post on X, formerly known as Twitter, saying: “Never incorporate your company in the state of Delaware.
“I recommend incorporating in Nevada or Texas if you prefer shareholders to decide matters.”
The verdict was given in a Delaware court, and Musk has since sought to move the company’s legal home to Texas.
The billionaire has also faced problems at X, the social media company he has owned since October 2022.
Advertisers are pulling out from the platform after Musk made comments that many considered antisemitic.
Ad spending on X dropped 54 percent to $1.89 billion in 2023, according to data from Insider Intelligence.

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