The first quarter of 2020 is completed and many public companies have published their financial results. Previously, before the crisis of 2020 and the completely crazy events in the stock market in 2021, financial results, as well as market factors, were of key importance in the value of a company's shares. But a lot has changed in the last 15-18 months. Now members of the Reddit forum can safely collapse certain shares in value or vice versa raise them to the top, thus causing huge losses to traditional investors and investment companies that do not expect that the entire forum will unite and buy or sell certain shares. But this is the reality of the stock market in 2021. Tesla shares have been falling in value since January 26. On that day, the price of one share was $ 890, now it is $ 659. However, this is normal, since, in the long term, the shares of this company are growing almost non-stop. Thus, even at the current level of value, it is appropriate to talk about overbought and their inflated value. We are not surprised by the drop in Tesla shares. The company is developing, financial indicators are improving from year to year. But at the same time, Tesla is not even among the top ten manufacturing companies in terms of profit and sales. At the same time, its capitalization exceeds the total capitalization of the largest ten automakers. For example, Toyota sold cars in 2020 for an amount equal to the value of the company itself. Tesla, with a capitalization of $ 600-700 billion, made a profit from the sale of cars of only 721 million, and revenue was $ 31.5 billion. At the same time, its shares increased 10-fold in 2020. Thus, Tesla has already received too many advances, now the company needs to develop for 10-15 years, constantly increasing sales and profit levels, just to reach the level of matching the share price and capitalization with financial results. However, if investors continue to buy shares like hotcakes, then their value will continue to grow.
According to reports, in the first three months of 2020, Tesla sold 185 thousand electric vehicles. This is the highest indicator of the company in its history. However, only two Tesla models are sold: the Model 3 and the Model Y. Their company sold 183 thousand. More expensive cars are almost not bought anywhere in the world. According to experts, in 2021, the company will sell 800,000 cars, which will exceed last year's figure by 300,000. Thus, if the forecast comes true, it will be possible to talk about an increase in production capacity and an increase in revenue and sales. However, only 1.5 times. Recall that the shares of Tesla in 2020 increased 10 times.
The last three trading days for Tesla shares have been quite active. At first, there was a rise from $ 600 per share to $ 690. But on Friday, a pullback again followed and the auction ended at $ 660. Thus, investors made another unsuccessful attempt to start a new upward trend. The level of $ 702 per share is still an impassable barrier. Not far from it, the price has already turned down 5 times. Meanwhile, there are persistent rumors in the stock market about a "bubble" that may burst in the next year. And first of all, this applies to technology companies.