newarticlenews

Latest and Fastest news for you

Education

Tesla Flashes Aggressive Buy Signal As Bulls Shrug Off Bad News

[ad_1]

Tesla (TSLA) appeared to shake off any lingering investor concern over its third-quarter delivery miss earlier in the week, with TSLA shares powering above a key level, leading the S&P 500 Wednesday.




X



With Tesla bulls betting on a fourth-quarter rebound in deliveries with the revamped Model 3 in China and the expected Cybertruck delivery launch, Tesla stock advanced 4.3% to 257.10 Wednesday during market action.

However, analysts are also cutting third-quarter EPS estimates ahead of Tesla’s Q3 earnings on Oct. 18.

TSLA cleared its 50-day line Wednesday and has been added to IBD Leaderboard and SwingTrader, with a buy zone of 254.77-258.40 for aggressive investors. Late Tuesday, Tesla announced its newly launched U.S. Model Y variant is now available in the U.S.

The EV company’s starting price for the rear-wheel drive Model Y is $43,990, with an official range of 260 miles, according to Tesla’s website. Deliveries are set to begin in October or November. The prior base Model Y, which is no longer available, started at $47,740. That continues a yearlong trend of lower average selling prices for Tesla EVs.

Meanwhile, Rivian (RIVN) also leapt 7.1% to 23.23 Wednesday. Rivian stock is slightly below an early entry of 24.87. Shares have an official buy point of 28.06, according to MarketSmith analysis.

Tesla Stock Performance

Last week, Tesla stock rose 2.2% to 250.22. On Monday, shares closed just above the 50-day line, before retreating modestly on Tuesday.

Tesla stock currently resides in a cup-with-handle base, with a 278.98 buy point, according to MarketSmith. Analysts also maintain that the United Auto Workers strike against Ford (F), General Motors (GM) and Stellantis (STLA) is good news for Tesla, a nonunion shop.

Tesla stock ranks fourth in the 35-stock IBD automaker industry group. The S&P 500 component has a 96 Composite Rating out of a best-possible 99. Shares have an 94 Relative Strength Rating and its EPS Rating is 93.

Please follow Kit Norton on X, formerly known as Twitter, @KitNorton for more coverage.

YOU MAY ALSO LIKE:

Get An Edge In The Stock Market With IBD Digital

Labor Unions Keep The Heat On Starbucks And Amazon

Stocks Near A Buy Zone

Learning How To Pick Great Stocks? Read Investor’s Corner

Dow Dives As Yields Soar; These Stocks Skid From Key Level



[ad_2]

LEAVE A RESPONSE

Your email address will not be published. Required fields are marked *