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Tesla (TSLA) Dips More Than Broader Markets: What You Should Know

Zacks Equity Research

Tesla (TSLA) closed the most recent trading day at $252.38, moving -0.44% from the previous trading session. This change lagged the S&P 500's daily loss of 0.34%. Elsewhere, the Dow lost 0.09%, while the tech-heavy Nasdaq lost 0.43%.

Prior to today's trading, shares of the electric car maker had gained 12.65% over the past month. This has outpaced the Auto-Tires-Trucks sector's gain of 5.22% and the S&P 500's gain of 4.46% in that time.

TSLA will be looking to display strength as it nears its next earnings release, which is expected to be July 24, 2019. In that report, analysts expect TSLA to post earnings of -$0.56 per share. This would mark year-over-year growth of 81.7%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.38 billion, up 59.3% from the year-ago period.

TSLA's full-year Zacks Consensus Estimates are calling for earnings of -$1.26 per share and revenue of $25.53 billion. These results would represent year-over-year changes of +5.26% and +18.97%, respectively.

Any recent changes to analyst estimates for TSLA should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.57% higher. TSLA is holding a Zacks Rank of #3 (Hold) right now.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 88, putting it in the top 35% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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