Tesla: Fundamentals Don't Add Up

KM Capital7.51K FollowersFollow5ShareSavePlay(10min)CommentsSummaryTesla, Inc. remains massively overvalued, trading at a $1.5T market cap and 15.5x TTM sales, well above historical averages.TSLA's forward P/E ratios are projected to remain elevated, with FY2027 at 150 and FY2028 at 88, despite a weak EPS surprise history and negative revisions.Fundamental headwinds include high-interest rates, waning policy support, intensifying competition in Europe and China, and a stagnant product line up.Despite strong FOMO and a loyal fan base, I reiterate a Sell rating on TSLA stock, as no fundamental drivers justify the recent rally. jetcityimage/iStock Editorial via Getty Images Tesla, Inc.'s (TSLA) share price continues moving independently from its fundamentals. I am saying this not just to excuse the fact that TSLA soared by more than 40% since my early SeptemberThis article was written byKM Capital7.51K FollowersFollowComing from an IT background, I have dived into the U.S. stock market seven years ago by managing portfolio of my family. Starting managing real money has been challenging for the first time, but long hours of mastering fundamental analysis of public companies paid off and now I feel very confident in my investment decisions. My hands-on experience shaped deep understanding of risk, reward and the delicate balance between these two variables. Driven by a desire to share my insights and contribute to the investor community, I embark on this new chapter with Seeking Alpha. My articles will be crafted with clarity and precision, devoid of jargon and fostering accessibility for investors of all experience levels. My background in IT grants me a valuable perspective, particularly when navigating the complexities of technology stocks. Yet, my pursuit of knowledge extends beyond the realm of silicon, encompassing diverse sectors and uncovering promising prospects across the economic landscape. Whether you are a seasoned investor seeking fresh perspectives or a nascent one embarking on your financial voyage, I extend a warm invitation to join me on this intellectual journey. Through collaborative exploration and insightful analysis, let us unlock the secrets of the market and chart a path towards shared financial success.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.