Whilst the broader market saw some moderate gains, there was particular strength in Tesla Motors (TSLA), which settled +2.8% @ $236.99. Near term outlook is bullish as Mr Market appears to want to buy to at least $260, which appears easily viable by mid June.
*daily candle was a super bullish engulfing candle.. bodes for broader upside into early June.
Suffice to say... Q1 earnings came in better than the market had expected.
Yet.. TSLA is still losing money of course.. quarter after quarter... after quarter.
Mr Market being what it is... can't help but still have underlying faith in the company... and there is unquestionably a great deal of 'momo chasing' still going on in this particular stock.
Since TSLA is still posting losses, it doesn't have a PE at all.
*I have never traded TSLA (long or short) not because the company isn't innovative or even inspiring (as it is)... but on any basis, the current valuation is just plain crazy.
I simply can't see why any 'normal' person would want to buy a company that is still completely unable to turn even a modest profit, offers no dividends, and will probably be asking for further capital - whether via new shares.. or more corp' bonds.
Fair value: $20.. and that is probably being overly generous.