Below $200, Is Tesla Stock a Buy?
Over the last three months, Tesla (NASDAQ: TSLA) shares have lost about a third of their value. Year to date, they are down more than 40%. The pullback in the stock price likely has a lot of investors wondering if now is a good time to buy the electric-car maker's stock. After all, even though shares are down the underlying business is growing rapidly. Perhaps Tesla's fundamentals have caught up with its stock price recently.
Is the growth stock's valuation attractive after its sharp pullback or is the premium on the stock still too high? Let's dig in to find out.
The world may be facing intense macroeconomic certainty but you wouldn't know it by looking at Tesla's recent business results. Third-quarter revenue soared 56% year over year and free cash flow for the period increased 148% to about $3.3 billion. Further, the company's cash position grew to $21.1 billion.
Source Fool.com
