Piper Jaffray Upgrades Tesla Motors (TSLA) to Overweight, Slashes EPS Estimates, Asks Clients To Employ Creative Valuation Methods
Get Alerts TSLA Hot Sheet
Rating Summary:
23 Buy, 27 Hold, 13 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 12 | Down: 10 | New: 14
Join SI Premium – FREE
Piper Jaffray upgraded Tesla Motors (NASDAQ: TSLA) from Neutral to Overweight with a price target of $368.00 (from $223.00).
Analyst Alex Potter tells clients in a morning note that he and his team have driven a Tesla for seven months in preparation for this morning's report in which he is dramatically adjusting his FY 2017 EPS down (from a gain of $0.42 to a loss of $4.83). He upgrades the stock and raises his PT by 65 percent noting that investors might need to, and we quote, "employ a 'creative' valuation methodology and prepare for a bumpy ride" before following Potters advice.
Here's his material adjustment to 2017 EPS estimates to reflect inefficiencies in the Model 3 launch.
- Q1 2017 EPS goes from a loss of $0.12 to a loss of $0.78.
- Q2 2017 EPS goes from a loss of $0.13 to a loss of $0.82.
- Q3 2017 EPS goes from a gain of $0.15 to a loss $1.60.
- Q4 2017 EPS goes from a gain of $0.52 to a loss of $1.63
- FY 2017 EPS goes from a gain of $0.42 to a loss $4.83
Miraculously the stock is upgraded and the PT is raised by 65 percent.
The analyst also introduced EPS estimates for 2018:
- Q1 2018 EPS estimate is for a loss of $0.88.
- Q2 2018 EPS estimate is for a loss of $0.81.
- Q3 2018 EPS estimate is for a gain of $0.32.
- Q4 2018 EPS estimate is for a gain of $1.26.
- FY 2018 EPS estimate is for a loss $0.11.
For an analyst ratings summary and ratings history on Tesla Motors click here. For more ratings news on Tesla Motors click here.
Shares of Tesla Motors closed at $302.54 Friday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Tesla (TSLA) PT Lowered to $120 at HSBC on 'concerns about the timing and scale of prospects'
- Midday movers: Tesla, Boeing rise; Uber, Old Dominion Freight fall
- Pivotal Research Upgrades Sirius XM Radio (SIRI) to Buy, 'Free Cash Flow Acceleration Story'
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS View, Analyst PT Change, Hot Upgrades, UpgradesRelated Entities
Piper Jaffray, Tesla, Model 3Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!