Tesla Motors Inc (NASDAQ: TSLA)
Tesla Motors is having an incredibly rough day in the market, and that day seems to be getting worse, as the stock just broke through a support level. Today, we’ll talk about what we’re seeing from the stock, why, and what we can expect to see from TSLA ahead.
TSLA Takes A Dive
As mentioned above, Tesla Motors is having an overwhelmingly rough day in the market. While the stock has been declining since the open, we recently saw a large spike downward. At the moment (11:38), TSLA is trading at $192.06 per share after a loss of $5.67 per share (2.87%) thus far today.
Why Is The Stock Breaking Down?
As soon as we noticed the large spike downward, the CNA Finance team started digging to see exactly what’s going on with TSLA. We believe we figured it out. In fact, there are two things weighing on the stock.
First and foremost, in an article released today, we learned a bit about October sales. Unfortunately, sales for the month are expected to be lackluster. That’s not making investors happy.
On top of the sales issues, there are growing concerns surrounding the SolarCity deal. At the moment, there’s quite a bit of chatter online about the idea that the company may run with another offering in order to help fund the deal. Ultimately, that leads to dilution, and TSLA investors won’t be happy about that either.
What We’ll Be Watching For Ahead
Moving forward, we’ll be keeping a close eye on both stories, what’s going on with sales, and the possibility of another offering. As the news breaks, we’ll be sure to update you. Nonetheless, make sure to keep your eyes open too. TSLA is likely to present profitable opportunities ahead.
Never Miss The News Again
Do you want real-time, actionable news delivered to your inbox? Join the CNA Finance mailing list below!
[Image Courtesy of Wikipedia]