Eugene’s views on Tesla (NASDAQ:TSLA)


Eugene Groysman reported in an interview that Tesla (NASDAQ:TSLA) is a company just like Apple (NASDAQ:AAPL) which has an opportunity to revolutionize its market. His vision for Tesla (NASDAQ:TSLA) is a grand one if he had the audacity to compare it to the top tech giant on this planet. Eugene saw the position of Tesla (NASDAQ:TSLA) grow as did investors however, the stock of the company has been decreasing in value compared to the highs it witnessed in September.

Eugene is a fine trader that looks at a company before purchases or selling its stocks. He has a gain to loss ratio of 7.1 and a winning percentage of 45%. Not only does he utilize his own quantitative analysis but also works on investment fundamentals. He stated in an interview that he was on his feet because of the market and its various investments. He continued to say that the worst news an investor can get is surprise news, as one must always be ready by bearing in mind what the market has in store next.

Eugene stated that he initially bought shares of Tesla (NASDAQ:TSLA) a year back when the price per share was about $150-$160. He stated that his breakeven point was somewhere near $139. The market is why Tesla (NASDAQ:TSLA) has been on the limb the last month. The systematic risk doesn’t let anyone escape the market according to Eugene. He stated that Tesla (NASDAQ:TSLA) has volatile stock which shouldn’t be taken on the negative side as the riskier the stock, the more its value.

The company’s Model S was a huge success hence proving that electric cars are actually what people want. The cars Tesla (NASDAQ:TSLA) has are compared to BMW (ETR:BMW), Porsche (OTCMKTS:POAHY) and Lotus. It also has a new car coming out known as the Model X which will in turn compete with the M-Class and G-Class from Mercedes and Porsche (OTCMKTS:POAHY) Cayenne. Eugene was very enthusiastic about the way Tesla (NASDAQ:TSLA) understands cars hence giving them a unique lifestyle.

The company has made 119 supercharger stations and is building more as we speak which allows people to charge their cars completely in just 30 minutes. The company stated that it plans to build a huge factory in Nevada by around 2020 with the goal of making around 500,000 cars a year when the plant is operational. Eugene stated that each time Tesla’s (NASDAQ:TSLA) stock moves above 5% of his holdings, he pars it down to bring it below 5% again.

He uses the same strategy for Netflix with the breakeven point at $135. He stated that valuation is much more important to him as the company doesn’t post their earnings. The main factor that helps him make his decision is the top line growth of revenue the company has. Tesla (NASDAQ:TSLA) has positive EBITDA and gross margins that are better than the industry overall. The operating cash flow of the company also went positive the past financial year.