On a scale of 0 to 100 Tesla holds performance score of 18. The firm has beta of 0.2618 which indicates as returns on market increase, Tesla returns are expected to increase less than the market. However during bear market, the loss on holding Tesla will be expected to be smaller as well.. Although it is vital to follow to Tesla Motors current price movements, it is good to be conservative about what you can actually do with the information about equity historical returns. The philosophy towards measuring future performance of any stock is to evaluate the business as a whole together with its past performance including all available fundamental and technical indicators. By inspecting Tesla Motorstechnical indicators you can presently evaluate if the expected return of 0.3656% will be sustainable into the future. Please operates Tesla Skewness, and the relationship between Potential Upside and Rate Of Daily Change to make a quick decision on weather Tesla Motors existing price patterns will revert.
If you would invest 23,245 in Tesla Motors Inc on April 29, 2015 and sell it today you would earn a total of 1,900 from holding Tesla Motors Inc or generate 8.17% return on investment over 30 days. Tesla Motors Inc is currenly generating 0.3656% of daily expected returns and assumes 1.2812% risk (volatility on return distribution) over the 30 days horizon. In different words, 13% of equities are less volatile than Tesla Motors Inc and 92% of traded equity instruments are projected to make higher returns than the company over the 30 days investment horizon.
Given the investment horizon of 30 days, Tesla Motors Inc is expected to generate 2.05 times more return on investment than the market. However, the company is 2.05 times more volatile than its market benchmark. It trades about 0.29 of its potential returns per unit of risk. The NYSE is currently generating roughly -0.01 per unit of risk.
Tesla Motors Operating Margin
Based on recorded statements Tesla Motors Inc has Operating Margin of -5.84%. This is 3.36% higher than that of the Consumer Goods sector, and 241.52% higher than that of Auto Manufacturers - Major industry, The Operating Margin for all stocks is 43.3% lower than the firm.
A good Operating Margin is required for a company to be able to pay for its fixed costs or pay out its debt which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against firm's competitors.
Based on monthly moving average Tesla is performing at about 18% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Tesla by adding it to a well-diversified portfolio.