Morningstar’s updated analysis suggests the EV maker’s stock price is too low.
We forecast demand growth will outpace new supply in 2023, leading to a widening supply deficit, which should support prices remaining near current levels.
The electric vehicle maker’s 2022 deliveries missed our forecast, but we see a strong upside with much of the bad news already priced in.
We see no reason to change our $250 estimate or narrow moat rating.
Where the market sees caution, Morningstar analyst Seth Goldstein sees opportunity.
Investors should wait for a larger margin of safety before buying Tesla stock.
More than 54% of the stocks are trading in either 5- or 4-star territory.
The electric vehicle maker’s stock fell as much as 8% on Monday.
The EV market leader’s strong brand drives pricing power, Morningstar’s analyst says.
We expected Q2 2022 earnings on Tesla stock to be the low point of the year.
Market's decline leaves over half of the sector undervalued, trading at 4 or 5 stars.
With our outlook intact, we maintain our $750 fair value estimate and narrow moat rating.
A higher price forecast for the metal boosts our valuations for the stocks.
At current prices, we view Tesla as fairly valued with the stock trading slightly below our fair value estimate.
We think the electric vehicle maker likely does not need to hire any more employees in order to maintain its growth.
We think the market reacted negatively to Musk likely spending less time running Tesla. We maintain our FVE and view Tesla as slightly overvalued currently.
The quarter exemplified our long-term thesis that Tesla has the ability to raise prices, and reduce unit production costs and overhead expenses, all of which will drive higher profits.
Our outlook for the lithium producers under our coverage is unchanged.
Specialty chemicals producers a smart way to play the growth in electric vehicles and 5G technologies.
We maintain our $700 per-share fair value estimate and narrow moat rating for Tesla.
We’re maintaining our fair value estimate of $700.
Here's Morningstar analyst Seth Goldstein's take on the world's largest battery electric vehicle automaker.
Our long-term outlook remains unchanged as we continue to expect sales growth will slow.
Increased competition from Nvidia could reduce Tesla's AV technological advantage and weigh on long-term growth.
Fair value estimate remains the same following Elon Musk stock announcement.
We've raised our fair value estimate for the narrow-moat automaker to $680 per share.
We currently view the automaker's shares as overvalued.
There are few undervalued stocks in the sector.
We're maintaining our $600 fair value estimate, as higher near-term sales are offset by delayed production of new vehicles.
Automakers aren’t the only ones poised to benefit from EV growth.
We think the strategy to become a retail energy provider makes sense and maintain our fair value estimate.
At current prices, we view Tesla shares as fairly valued with the stock trading a little over 10% above our fair value estimate.
Shares crashed at the time of the writing and currently, we view shares as slightly overvalued.
Biden's plans are in line with our thesis for higher U.S. and global EV adoption.
The firm is well positioned to capture sales and profit growth from multiple favorable trends.
Our view for the company is unchanged and we maintain our $570 per share fair value estimate and narrow moat rating.
We're raising our fair value estimate to $570 per share from $550.
These companies can take advantage of rapid electric vehicle growth.
We boosted our valuation on an improved profit outlook, but the EV maker still isn’t a buy.
Although outperformance has leveled off, there are currently no 5-star stocks from the sector on our coverage list.
The increased fair value estimate comes from our outlook for higher long-term profitability in the automotive segment.
Compass Minerals will benefit from higher prices and lower costs.
We expect potash demand to grow over the next several years in basic materials.
We don't think the market appreciates the company's long-term earnings power.
Lithium demand took a hit as a result of the pandemic, but we expect it to rebound.
Following the Tesla battery day event, lithium producer stock prices plunged. We see no change to our outlook for lithium.
We think investors' fears about liability issues are overblown.
Getting past near-term growing pains and uncertainty, we see significant risk-adjusted upside.
We have reduced our near-term outlook for lithium demand and maintain our current forecasts for three narrow-moat companies.
All three lithium producers we cover are undervalued.