Fisher Asset Management LLC has increased its holdings in Tesla, Inc. (NASDAQ:TSLA) by an impressive 29.0% in the third quarter of 2023. According to a recent disclosure with the Securities and Exchange Commission (SEC), the institutional investor now owns a total of 30,622 shares of the electric vehicle manufacturer, following the acquisition of an additional 6,892 shares during the quarter. As of the latest SEC filing, Fisher’s stake in Tesla is valued at approximately $13.6 million.
The interest in Tesla has not been limited to Fisher Asset Management. Other institutional investors have also adjusted their positions in the electric vehicle sector. For instance, Vanguard Group Inc. increased its stake by 0.4% in the same quarter, bringing its total ownership to 252,386,304 shares, valued at around $112.2 billion after purchasing an additional 995,623 shares. Similarly, Geode Capital Management LLC has raised its position in Tesla by 2.0%, owning 64,767,993 shares worth approximately $20.5 billion.
Investment waves continue as Norges Bank established a new position in Tesla valued at about $11.8 billion. Legal & General Group Plc increased its stake by 5.9% and now holds 20,225,098 shares valued at around $6.4 billion. Amundi has also boosted its holdings by 20.4%, now owning 20,194,152 shares valued at $6.4 billion. Collectively, institutional investors and hedge funds own 66.20% of Tesla’s stock.
Tesla’s Market Position and Analyst Sentiment
Recent developments indicate a positive sentiment surrounding Tesla. Bank of America has resumed coverage with a Buy rating and a price target of $460, recognizing Tesla as a leader in consumer autonomy and robotaxis. Analysts are increasingly optimistic about Tesla’s self-driving technology, suggesting that its autonomy potential may exceed that of its electric vehicle division.
Reports of a Model Y completing a long full self-driving (FSD) run without human intervention have further fueled optimism regarding Tesla’s software advancements. Additionally, some European markets, including France and Portugal, have shown signs of sales stabilization, alleviating delivery concerns in key regions.
Despite this positive outlook, some challenges loom ahead. Tesla faces regulatory scrutiny as it must submit detailed FSD data to the National Highway Traffic Safety Administration (NHTSA) by March 9. A problematic filing could escalate scrutiny and impact market sentiment. Furthermore, reports indicate a decline in UK registrations during February, highlighting ongoing demand variability in Europe.
Insider Trading Activity and Stock Performance
In recent insider trading activity, Kathleen Wilson-Thompson, a director at Tesla, sold 25,731 shares on February 25, 2024, for a total of approximately $10.7 million. Following this transaction, she holds 19,669 shares, down by 56.68%. Similarly, Chief Financial Officer Vaibhav Taneja sold 2,637 shares on December 8, 2023, valued at nearly $1.2 million, reducing his ownership by 16.09%. Over the last ninety days, insiders have sold a total of 145,188 shares valued at approximately $64.2 million, with insiders now owning 19.90% of the company’s stock.
Tesla shares opened at $405.94 on Thursday, with a market capitalization of $1.52 trillion. The company’s price-to-earnings (P/E) ratio stands at 375.87, with a price-to-earnings-growth (PEG) ratio of 13.97. Over the past year, Tesla’s stock has fluctuated, reaching a low of $214.25 and a high of $498.83.
Recently, Tesla reported quarterly earnings on January 28, 2024, posting earnings per share of $0.50, surpassing analysts’ estimates of $0.45. Revenue for the quarter was reported at $24.9 billion, slightly above expectations of $24.75 billion, although this represents a 3.1% decrease compared to the same quarter last year.
Analysts continue to provide varied assessments of Tesla’s stock. Several have updated their price targets, with President Capital reducing its target from $517 to $500, while Wedbush maintained an “outperform” rating with a target of $600. Overall, Tesla enjoys a consensus rating of “Hold” with a price target of approximately $406.84 according to MarketBeat.
Tesla, Inc. is an American company known for designing, manufacturing, and selling electric vehicles, as well as energy generation and storage products. Founded in 2003, Tesla aims to accelerate the transition to sustainable energy through its innovative technologies and focus on electric drivetrains and renewable energy solutions.
