Tesla stock was down again in morning trading on Tuesday, following claims the shares are overpriced and amid new reports that Apple s self-driving car program is back on track.
Tesla shares dropped as much as 2.2 percent on Tuesday morning, after plunging 7 percent in Monday s session, when the company became part of the S&P 500 index. Tesla stock has very strong signs of being overpriced, said Vitali Kalesnik, partner and head of research in Europe at Research Affiliates, in an interview on CNBC on Tuesday. Tesla s current valuation is in the bubble territory.
His remarks followed a new report that Apple is moving forward with self-driving car technology and is targeting 2024 to produce a passenger vehicle that could include its own breakthrough battery technology, posing a new threat to Tesla.
Elon Musk tweeted on Tuesday that he had approached Apple to sell Tesla
Musk said that Tim Cook, Apple CEO, refused to meet him to discuss the sale
At the time the company was in trouble with the problematic Model 3
Tesla is now worth $600 billion and is the world s most valuable car company
Apple has been said to be working on its own electric car since 2014
On Monday Reuters reported details of how the car would work
Researcher: Tesla Stock Too Expensive, in Bubble Territory newsmax.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from newsmax.com Daily Mail and Mail on Sunday newspapers.
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image captionTesla is the world s most valuable car-maker though its business is a fraction of its rivals
Tesla is poised to join America s benchmark S&P 500 stock index on Monday, giving millions more investors a stake in the electric car-maker.
Analysts say the financial milestone is a validation of a string of good news for Elon Musk s firm this year.
Demand for its cars was resilient this year despite the coronavirus pandemic.
But adding Tesla - the most frequently traded name on Wall Street - to the S&P could mean a bumpier ride for investors in funds that track the index.