Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Next trading update is the key for the jump to higher highs. If Tufan doesn't have any fireworks in the update then probably same trading range continues. Confirmation of FCF and profit for full year should also help SP.
May 1st results?
If you look at the last trading update EZJ is narrowing the loss and is projected to be in profit for full year and that should bring fireworks to the share price. Citadel and Systematica have latest short positions under 0.48% and I expect those will be reduced further with positives numbers on Tuesday's update. So similar to RR, I expect a good 10% rise on Tuesday and should start motoring upwards for the rest of the year. Trading range to settle between 5.20 - 5.50 until Summer trading update. It could even touch £6. Would be wonderful if £7 is achieved for Santa rally. By end of the year £6.50 easily considering the profits recorded from Summer onwards. EZJ has the lowest debt in the travel stocks. This should do very well going forward.
"shall i wait till Thursday to see reaction or not?"
If the numbers don't meet wall street expectations then could be a blood bath. But news seem to be around beating the expectations. Forbes think higher highs possible -
https://www.forbes.com/sites/bethkindig/2023/04/14/tesla-stock-what-you-need-to-know-about-q1-earnings/
Not seen it yet but the Twitter purchase was unnecessary. I'm still not sure what he gained out of it. It might his personal interest to have presence in social media but Twitter caused lot of pain for Tesla share price. All his share sales to fund the Twitter purchase was not received well by many investors.
Good thing is that Twitter story is now over. He is now taking about investing in AI and asking money from Tesla investors and SpaceX investors.
We need more news on battery side innovations, his solar energy business, new cheaper model of Tesla, usage of data collected by Tesla of the drivers.
Or even do flying Taxis that another company is already investing. If Elon takes up this idea of flying Taxis then that instills belief in investors that flying Taxis is possible and that will bring whole load of new investors into Tesla.
I read articles that say Tesla is becoming boring but in the current volatile climate boring is better with sustained profits which Tesla is making currently. Next week will prove that profits are still up despite the inflation and recession fears.
bb143, what did you do? Buy or waiting?
I was on holiday and didn't follow the markets but it looks like US CPI figures are down to 5%? Rates should fall in second half leading to money coming back in growth stocks.
Even the gap between unsold cars from previous quarter to this quarter reduced. This time it is around 18k cars that are in the inventory whereas in the previous quarter it was near 30k-40k?
Until the next update I guess it will now trade in a range upto $200. I will open a trading pot and will buy if it goes to $180
Bloody hell nearly 7% drop!
Those numbers don't warrant such a big drop.
Here is from Bloomberg on 31st Mar about analyst estimate of Tesla delivery numbers -
https://www.bloomberg.com/news/articles/2023-03-31/did-tesla-tsla-price-cuts-fix-its-demand-problem-investors-will-soon-find-out
from above link - Analysts estimate first quarter deliveries of 421,164
Tesla delivered 422875 which is higher than analyst estimates! ?
Still a drop of 7%?
With oil price increasing, there would be more people looking to buy Electric vehicles.
I wanted a top-up under $200 so will wait and see how low it will be "taken" down.
Funny thing is that some of the media wants to write saying Tesla missed expectations. But all of Jan they were saying Tesla would suffer with the deliveries due to shutdowns in January for China New Year holiday etc!
Here we are with Tesla beating the production and delivery numbers. 5% drop is overreaction or more like sell on the news brigade out in force. There is also wider market going down.
Price cut helped the delivery numbers but it was more to offset the factory shutdown in January for China New Year holiday I feel!
Next quarter further price cuts may not be needed and margins could be much better for the rest of the year. Atleast I hope so.
Media said competition from Ionic, Mercedes and VW but so far Tesla is still the popular choice. With the look of sports car and electric Tesla can't be beaten while Elon is at the helm.
2ticks, don't sell for loss. If possible try averaging down. If the numbers are good on Sunday then we could see another 5-10% jump and it should then slowly motor towards $240-$250 for once and that will be our chance to decide what to do then.
Ark's Cathy has got $1600 price target and Tesla is the major holding.
Second half rates could go down and that is the reason money is coming back into growth stocks from now itself and we are sitting at $200 currently and this could move easily to $250-$300 in second half. I hold Nvidia and bought at high last year at around $290 and then bought another tranche at $180 last year and now Nvidia is back to $270 already! I'm pretty sure Tesla will be back to $250-$300 this year. Currently it is at $600 in old money. It went to $1200 at the peak, which is $400 in the new money so $250-$300 is reasonable and easy to get.
$25000 car if and when it comes, stock should motor up new highs.
With Cyber truck deliveries increasing, it should all add up to the deliveries.
Toyota reported increase in sales with supply chain pressure easing so I expect Tesla numbers will beat expectations easily. If it does then hopefully we move into 200s and stay there and inch higher!
Consumers are still able to spend up and if the same holds for travel then travel stocks should soar as currently there is a worry about downturn and consumer spending which could impact margins but today's retails sales proved other way.
For Easter break we could see media talking about record number of people flying and long queues and that should lift the travel stocks so any drop now is a chance to top up.
100% agree with the rates. They should have done big rise from the beginning instead of smaller increases. Trouble is that just like landlords who are increasing the rents to cover the mortgage costs, all producers are doing the same increasing the prices of the goods to cover the rising costs. Only way is to kill the demand by job lay offs and unemployment levels increase.
End the war and that could provide some respite but we have clowns all over who want the war to continue!
Moody's upgrade of Tesla investment rating and China sales Jan-Mar 19th are exceeding previous quarter and exceeding figures from same quarter last year are an indication that Tesla demand is not weakening. If the margins continue to improve with manufacturing costs reduced as mentioned by CFO then stock should accelerate to previous high.
Just need FED to put a brake on interest rates.
"the underlying operating profit increased by £238m to £652m and this is forecasted to be £800m to £1B for 2023. The net debt dropped from £5.2B to £3.3B and this is forecasted to drop more to £2.5B for 2023.
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Increasing cash flow to £1bn is what every broker is forecasting and is the reason for the 200p target. If you guys remember Seeking Alpha analyst said if positive cash flow hits £1bn then RR is a £2.36 share and this year there is no doubt RR will see £1bn cash flow with flying hours reaching 90% of 2019 and could be higher. Pre-pandemic RR SP was near £3.50. Current price is very much undervalued. With more orders in power business and defense contracts atleast £1bn operating margin is easy IMO for this year.
As per Bloomberg -
https://www.bloomberg.com/news/articles/2023-03-16/a-2-7-trillion-opex-looms-as-bank-turmoil-awakens-volatility?srnd=premium-europe
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An estimated $2.7 trillion of derivatives contracts tied to stocks and indexes are scheduled to mature, obliging Wall Street managers to either roll over existing positions or start new ones. The process usually involves portfolio adjustments that lead to a spike in trading volume and sudden price swings.
While the event has its benefits, such as amping up liquidity, that may not be enough to appease investors reeling from shocks ranging from the collapse of three US banks to hawkish comments from Federal Reserve Chair Jerome Powell.
Demand for bearish options has been on the rise, a stark departure from last year, when a bear-market selloff barely registered in the world of derivatives. Meanwhile, market makers — who are on the other side of transactions and need to buy or sell equities to keep a neutral position — are caught in a state known as “short gamma.” The stance requires them to ride the prevailing trend, buying stocks when they rise and selling when they fall.
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Rolls Royce is getting into a good shape with China re-opening and with the new orders, RR is safe from all the shocks. Hopefully more money comes back into RR from Monday. We are very much undervalued and broker targets are towards 200p now!