Here's Morningstar analyst Seth Goldstein's take on the world's largest battery electric vehicle automaker.
Our long-term outlook remains unchanged as we continue to expect sales growth will slow.
Increased competition from Nvidia could reduce Tesla's AV technological advantage and weigh on long-term growth.
Fair value estimate remains the same following Elon Musk stock announcement.
We've raised our fair value estimate for the narrow-moat automaker to $680 per share.
We currently view the automaker's shares as overvalued.
There are few undervalued stocks in the sector.
We're maintaining our $600 fair value estimate, as higher near-term sales are offset by delayed production of new vehicles.
Automakers aren’t the only ones poised to benefit from EV growth.
We think the strategy to become a retail energy provider makes sense and maintain our fair value estimate.
At current prices, we view Tesla shares as fairly valued with the stock trading a little over 10% above our fair value estimate.
Shares crashed at the time of the writing and currently, we view shares as slightly overvalued.
Biden's plans are in line with our thesis for higher U.S. and global EV adoption.
The firm is well positioned to capture sales and profit growth from multiple favorable trends.
Our view for the company is unchanged and we maintain our $570 per share fair value estimate and narrow moat rating.
We're raising our fair value estimate to $570 per share from $550.
These companies can take advantage of rapid electric vehicle growth.
We boosted our valuation on an improved profit outlook, but the EV maker still isn’t a buy.
Although outperformance has leveled off, there are currently no 5-star stocks from the sector on our coverage list.
The increased fair value estimate comes from our outlook for higher long-term profitability in the automotive segment.
Compass Minerals will benefit from higher prices and lower costs.
We expect potash demand to grow over the next several years in basic materials.
We don't think the market appreciates the company's long-term earnings power.
Lithium demand took a hit as a result of the pandemic, but we expect it to rebound.
Following the Tesla battery day event, lithium producer stock prices plunged. We see no change to our outlook for lithium.
We think investors' fears about liability issues are overblown.
Getting past near-term growing pains and uncertainty, we see significant risk-adjusted upside.
We have reduced our near-term outlook for lithium demand and maintain our current forecasts for three narrow-moat companies.
All three lithium producers we cover are undervalued.
We think its divestment to IFF makes good strategic sense.
We see better days ahead for potash firms. Morningstar's Seth Goldstein explains.
These are our picks in supply chain and ancillary industries.
We see long-term potential for this wide-moat seed and chemical producer.
We expect a recovery in 2020, and these two stocks are poised to benefit.
We think the oversupply causing lower lithium prices is temporary.
Fewer acres planted will likely result in lower crop input volumes, but we expect profit impacts to be short-lived.
We see opportunity with both stocks from the former DowDuPont.
We see significant upside for Compass Minerals.
The wide-moat firm is poised to benefit from significant--and growing--fresh water demand.
As fresh water demand exceeds supply, wide-moat Ecolab stands to benefit.
Fertilizer-producer Nutrien offers attractive risk-adjusted upside potential.
The wide-moat company's progress on its Goderich mine operations is encouraging.
Our long-term outlook for lithium carbonate is unchanged.
Charging infrastructure is the key to electric vehicle adoption.
The wide-moat salt producer has seen operational hiccups and the departure of its CEO, but production is unaffected and we expect a rebound.
Increasing electric vehicle sales will drive lithium demand growth, and we like narrow-moat SQM and Abemarle.
Our top picks for industries that will benefit most from growing electric vehicle adoption are lithium producers and utilities.
We expect EV sales in China and the EU will accelerate, driving above-consensus global adoption rates.
The company will benefit from capacity expansions at its attractive low-cost assets.
China has agreed to higher potash prices in 2019, but we continue to forecast that prices will average $300 per metric ton over the next year.