The Tesla Stock Split | New SCARY Price Targets

hey everyone me Kevin here so by now you

may have heard that Tesla's announced a

three for one stock split this is

substantially less than the 20 for one

stock split that was rumored because of

JP Morgan release letters that indicated

that oh yeah Tesla's definitely planning

a 20 for one stock split anyway this

three for one stock split which

basically just means for every one share

you have you end up getting three

doesn't change anything about the

valuation of the company is expected to

be voted on on August 4th now post stock

splits it's very common for companies to

outperform the S P 500 with a normal

three-month period of the S P 500 moving

about 2.1 percent post stock splits

companies tend to move about 7.8 percent

after six months 4.4 on the S P 500 13.9

on a stock split stock and after 12

months 9.1 on the S P 500 versus 24 uh

I'm sorry

25.4 on the stock split stock so

oftentimes the stocks it can affect the

performance of a stock because maybe the

stock looks cheaper or it's easier to

buy with fractional shares even though

it does little to the fundamentals

speaking of fundamentals though even

though Tesla has canceled recruiting

events in Shanghai we've got sales r d

and supply chain departments seeing Cuts

their June 9th event got canceled in

Shanghai Barclays is raising their price

Target on Tesla by 14 suggesting that Q2

production is likely to come in in about

256

000 Elon Musk is trying to push for 300

000 deliveries but if we only hit 256

that would represent the largest decline

in Tesla's history and this is partially

due to a slower ramp at new factories

shanghai's lockdown that took longer to

get back up and running from quality and

supply chain issues with no second shift

at Berlin and Texas struggling to get

that 4680 integrated battery pack out

they they have however increased their

price Target by 14 percent to a wild 385

dollars which is about half of what the

stock is trading for now UBS on the

other hand raised their price Target as

well setting a massive order backlog log

and a substantial margin momentum

they're still expecting 50 growth for

the year they're taking more of a year

look rather than a quarter to quarter

look with an eleven hundred dollar price

Target they also expect that Tesla's

vertical integration and semiconductor

software and battery will result in

Superior growth and profitability of

course batteries are the biggest

bottleneck for the EV industry and they

believe that because Tesla has their own

battery construction and factories and

Manufacturing they believe that Tesla is

uniquely advantaged or uniquely

positioned to drive higher margins with

their own batteries and actually deliver

in fact UBS is so bullish in their bull

case scenario they think Tesla can have

margins uh there's Opera reading or I

should not say operating gross margins

that's vehicle Minus cost of goods sold

that could rise from 30 percent where

they sit now without tax credits all the

way up to 34.7 percent quite bullish

which side are you on the bullish side

or the bearish side let me know what you

think about Tesla's evaluation what's

going on with Tesla in the comments down

below personally can't help but be

bullish and see this recession that

we're going through whether it's an

actual recession an earnings recession

bankruptcies you name it there's a

bullish opportunity to increase my

quantity of share zoned thanks for

watching we'll see you in the next one