Tesla's Recent Surge Doesn't Make the Stock 'Bullish'

Tesla's (TSLA) stock just soared more than 70% in the past three months... That's an incredible move higher. But even that wasn't enough to smooth the electric-vehicle ("EV") maker's rough patch. [Chaikin PowerFeed]( Tesla's Recent Surge Doesn't Make the Stock 'Bullish' By Vic Lederman, editorial director, Chaikin Analytics Tesla's (TSLA) stock just soared more than 70% in the past three months... That's an incredible move higher. But even that wasn't enough to smooth the electric-vehicle ("EV") maker's rough patch. The stock is still down about 3% over the past year. Meanwhile, the S&P 500 Index is up roughly 23% over the same time frame. Now, Tesla is facing additional bad news... The California New Car Dealers Association recently reported sales numbers. And Tesla is losing ground in the state. In fact, the company has lost market share in California for three quarters in a row. Just a year ago, it held nearly 65% of California's EV market. Now, its market share stands at roughly 53%. Obviously, just about everyone has an opinion on why this is happening... Some blame Tesla's CEO Elon Musk. There's no question that he has taken a public stand against California. He even moved Tesla's corporate headquarters from there to Texas. But the explanation could be less political, too... "Light vehicle" registrations are down about 2% in the state in general. And at the same time, competitors are making big progress. Rivian Automotive's (RIVN) R1S is now the top-selling large SUV in California. So how does the Power Gauge interpret all of this? Let's take a look... Recommended Links: [Four AI Stocks to Buy Today (1,000%-Plus Upside)]( The stock market is now set for a new, surprising twist. And, according to Wall Street veteran Joel Litman, if you make the right moves today... you could see a series of 1,000%-plus returns on multiple stocks (based on a century of historical data). By tomorrow, [click here for full details](. ['This Could Mint a New Class of Millionaires']( Fifty percent of financial advisers won't even discuss this with their clients. But according to one legendary investor, this "sea-change" could create thousands of new millionaires in the coming year – while leaving countless others behind. [Learn more here](. Put simply, Tesla is sending mixed signals. And this is exactly the kind of situation that makes the Power Gauge so useful. [Just about a month ago]( I pointed out that Tesla hadn't made a new high in 31 months. Well, that's still true today. Sure, the company's share price has soared in recent months... A gain of more than 70% is a huge move. But Tesla's share price would need to soar another 63% for the company's stock to break new ground. With that in mind, it's not surprising that the company's share price surge hasn't resulted in a "bullish" Power Gauge rating. As you can see in the chart below, Tesla has maintained a "neutral" or worse rating for the entirety of this year... [Chaikin PowerFeed] Today, it holds a "neutral" rating. And digging deeper, it's clear why Tesla hasn't earned a "bullish" rating yet. The company is struggling in three of the four factor categories the Power Gauge looks at – Financials, Earnings, and Experts. Right now, the main thing going for it is the recent share price pop. The stock's only positive grade is in the Technicals category. So, where does that leave us? Tesla's recent surge was enough to push it back into "neutral" territory after several months in "bearish" territory. But it's still not enough for a "bullish" rating yet. Aggressive investors might see this as a turnaround opportunity. But those that are more cautious should wait for the other factors in the Power Gauge to confirm the trend. After all, the automotive industry is facing considerable headwinds today. And we now know that Tesla is losing ground in one of the largest EV markets in the world. Good investing, Vic Lederman Market View Major Indexes and Notable Sectors # Hld: Bullish Neutral Bearish Dow 30 +0.3% 7 19 4 S&P 500 +1.03% 122 307 67 Nasdaq +1.48% 20 54 25 Small Caps +1.57% 705 990 278 Bonds -0.32% Information Technology +2.37% 25 37 5 — According to the Chaikin Power Bar, Small Cap stocks and Large Cap stocks are Bullish. Major indexes are mixed. * * * * Sector Tracker Sector movement over the last 5 days Real Estate +1.87% Utilities +1.71% Staples +1.48% Industrials +0.88% Health Care +0.65% Financial +0.33% Materials +0.16% Energy -0.11% Discretionary -0.73% Communication -1.33% Information Technology -3.47% * * * * Industry Focus Oil & Gas Exploration & Production Services 8 36 10 Over the past 6 months, the Oil & Gas Exploration & Production subsector (XOP) has underperformed the S&P 500 by -1.77%. Its Power Bar ratio, which measures future potential, is Weak, with more Bearish than Bullish stocks. It is currently ranked #16 of 21 subsectors and has moved up 2 slots over the past week. Indicative Stocks [rating] GPRE Green Plains Inc. [rating] KOS Kosmos Energy Ltd. [rating] CLNE Clean Energy Fuels C * * * * Top Movers Gainers [rating] IQV +9.2% [rating] ON +6.62% [rating] LRCX +6.54% [rating] AMAT +6.28% [rating] KLAC +6.16% Losers [rating] CRWD -13.46% [rating] VZ -6.08% [rating] APD -5.46% [rating] DAL -3.54% [rating] MGM -3.53% * * * * Earnings Report Reporting Today Rating Before Open After Close PHM, NVR, GM, LMT, AOS COF, GOOGL, STX, TXN KMB, UPS, SHW, PNR, PCAR, MCO, KO, IVZ, HCA, GPC, GE, FCX, DHR, DGX, CMCSA, AVY CB, ENPH, PKG, TSLA, V MSCI CSGP, EQT No earnings reporting today. Earnings Surprises [rating] ARE Alexandria Real Estate Equities, Inc. Q2 $0.88 Beat by $0.27 [rating] WRB W. R. Berkley Corporation Q2 $1.04 Beat by $0.12 [rating] NUE Nucor Corporation Q2 $2.68 Beat by $0.27 [rating] TFC Truist Financial Corporation Q2 $0.91 Beat by $0.08 [rating] BRO Brown & Brown, Inc. Q2 $0.93 Beat by $0.05 * * * * You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, [click here](. You’re receiving this e-mail at {EMAIL}. For questions about your account or to speak with customer service, call [+1 (877) 697-6783 (U.S.)](tel:18776976783), 9 a.m. - 5 p.m. Eastern time or e-mail info@chaikinanalytics.com. Please note: The law prohibits us from giving personalized investment advice. © 2024 Chaikin Analytics, LLC. All rights reserved. Any reproduction, copying, or redistribution, in whole or in part, is prohibited without written permission from Chaikin Analytics, LLC. 201 King Of Prussia Rd., Suite 650, Radnor, PA 19087. 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