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Sunday, November 5, 2017

Buy Tesla Stock : Model 3, Elon Musk Get Banged Up By Media After Earnings Report

esla faced withering cynicism from the media this week, driven by uncertainty about the Model 3.

The cynicism/criticism was especially intense because during the third quarter the company was only able to make 260 of its first mass-market vehicle. Green Car Reports said, "Just 260 Tesla Model 3s built in three months" (headline) while adding in the body that "The news for October deliveries was, to put it bluntly, not good." (Tesla had originally planned to produce 1,500.)

But that headline was on the charitable side compared to many of the reports, which evinced a lot of existential angst. "Tipping-Over Point for Tesla: Great Cars, Weak Production Lines," said Extreme Tech. Or "Tesla's 'Hell' Threatens Its Future," said Jalopnik.

In some ways it feels like a hell of Tesla’s own making, owing to aggressive targets and promises it’s having trouble keeping up with.

here were plenty of other references to "Hell." Sleepless nights, broken robots and mounting pressure: Musk offers rare glimpse inside Tesla’s ‘production hell’ -- said the Washington Post. Which cited these comments from Musk in the conference call, referring to Dante's Inferno.

I was really depressed about 3 or 4 weeks ago when I realized that we're kind of in level 9, then we got to level 8, now I can see sort of a clear path to sunshine. And so I feel really pretty optimistic right now. If you talked to me 3 weeks ago, I would have been quite pessimistic and I was sort of quite down in the dumps.

--Elon Musk

Going forward, you have to wonder how many more moments like this Musk will have -- only to reveal them much later (or not at all).

Meanwhile Bloomberg echoed other stories in the financial press, "Tesla Sparks Fresh Cash Concerns After Model 3 Rollout Stumbles."

While Musk has brought in more than $3 billion this year from equity, convertible bond and debt offerings, his electric-car maker has burned through about $2.6 billion in cash during just the last two quarters...the stock has traded at the lowest intraday level in six months late this week

--Bloomberg (November 3)

Stock-price-centric blogs had no shortage of scary headlines like, "Conference Call Confirms Tesla's Model 3 Faces Huge Problems."

Earnings/Model 3 recap: To recap: Tesla lost $619 million over the third quarter, a record-high quarterly loss. The company attributed Model 3 delays to a number of things, including the Model 3's high level of automation ("challenging in the early stages of the ramp"), in its quarterly update to shareholders. But the biggest "production constraint has been in the battery module assembly line at Gigafactory 1," the company said in the update.

(Musk described battery module assembly in more detail on the earnings conference call. "There are four zones to module manufacturing...The zones three and four are in good shape, zones one and two are not. Zone two in particular...we had a subcontractor, a systems integration subcontractor, that unfortunately really dropped the ball.")

Attention all Model 3 reservation holders -- revised goal is 5,000-per-week by end of March: Musk said that Tesla would not reach its production target of 5,000 electric cars a week by December 31. And reports quickly ensued of day-1 reservation holders in California and New York "seeing a pushback in delivery date by approximately one month." Along these lines, Musk, in the earnings conference call, updated the production target. "We expect to achieve a production rate of 5,000 Model 3 vehicles per week by late Q1 2018, so probably sometime in March," he said.

And what about the previous target of 10,000 units a week by the end of 2018? "Just to be clear, we are trying to get as fast as we can to 5,000, and then we will work as fast as we can to get to 10,000," said CFO Deepak Ahuja during the call. So that's not a hard target anymore.


Tuesday, March 28, 2017

Buy Rating for ( Shak ) Shake Shack #SHAK - Top Stock to Buy 2017 #Stocks2017

Shares of Shake Shack (NYSE:SHAK) are clawing their way out of the doghouse. Wedbush analyst Nick Setyan kicked off this week by upgrading the stock. He's not necessarily bullish. Setyan is just no longer bearish, boosting his rating from underperform to neutral.

The stock has taken a hit since reporting mixed quarterly results earlier this month, but this isn't merely an opportunistic valuation call. Setyan is raising his price target from $30 to $33.Investors keeping an eye on shares of Shake Shack Inc. (NYSE:SHAK) may be analyzing the company’s FCF or Free Cash Flow. FCF is a measure of the financial performance of a company. FCF is calculated by subtracting capital expenditures from operating cash flow. Currently, Shake Shack Inc. A number of other hedge funds and other institutional investors also recently bought and sold shares of the company. Morgan Stanley boosted its stake in shares of Shake Shack by 35.7% in the third quarter. Morgan Stanley now owns 2,110,317 shares of the company’s stock valued at $73,165,000 after buying an additional 554,919 shares during the last quarter. Gilder Gagnon Howe & Co. LLC boosted its stake in shares of Shake Shack by 16.2% in the third quarter. Gilder Gagnon Howe & Co. LLC now owns 2,000,102 shares of the company’s stock valued at $69,344,000 after buying an additional 279,342 shares during the last quarter. Zevenbergen Capital Investments LLC acquired a new stake in shares of Shake Shack during the third quarter valued at approximately $24,073,000. Dimensional Fund Advisors LP boosted its stake in shares of Shake Shack by 4.4% in the fourth quarter. Dimensional Fund Advisors LP now owns 97,555 shares of the company’s stock valued at $3,491,000 after buying an additional 4,092 shares during the last quarter. Finally, Jane Street Group LLC boosted its stake in shares of Shake Shack by 680.3% in the third quarter. Jane Street Group LLC now owns 40,620 shares of the company’s stock valued at $1,408,000 after buying an additional 47,620 shares during the last quarter. Hedge funds and other institutional investors own 93.39% of the company’s stock.

Investors weren't happy to see comps rise by a mere 1.6% during the holiday quarter, resulting in Shake Shack landing at the low end of its earlier outlook for all of 2016. When you're Shake Shack, commanding the "better burger" hype and the lofty valuation that typically accompanies a hot IPO means living up to heightened expectations.Covering equity analysts polled by Zacks Research have a consensus target price of $38.777 on shares of Shake Shack, Inc. (NYSE:SHAK). This estimate may differ from what other benchmark data providers such as First Call have compiled for their target. Analysts may use different methods in order to calculate a future target price for the company. They may use fundamental analysis, technical analysis, or a combination of the two. Currently, the range of target price projections from equity analysts taken into considereation by Zacks Research is $32-$50. The variance in target estimates can be widely different from one analyst to the next. Shake Shack failed to deliver in its latest quarter, but that could still mean big gains for investors nibbling away at the stock at current levels.Long term stock price is set at 55 a share , buy the dips you will be rewarded in the future .

Wednesday, December 23, 2015

#Nasdaq 100 Index, Total Return 2015 YTD: +10.1% #100Index #stocks $QQQ

Nasdaq 100 Index, Total Return
2015 YTD: +10.1%
2014: +19.4%
2013: +36.9%
2012: +18.4%
2011: +3.7%
2010: +20.1%
2009: +54.6%