Opening a brokerage account is your key to buying and selling securities, like stocks, mutual funds and exchange-traded funds (ETFs). A brokerage is more than just your ticket to ride TSLA to the moon, though. It also has all the research and education you need to be a successful investor as well as different types of investment accounts designed for particular goals.
You may also turn to experts for their input. Brokerage companies frequently put out commentary on major stocks and industries, and third-party evaluators like Morningstar provide comprehensive analysis.
Buying stocks in just one company can leave you more exposed to unexpected swings in the market than if you have a range of investments otherwise known as a diversified portfolio. Experts generally recommend having a broad mix of assets and funds on the basis that drops in the value of some will be offset by rises elsewhere.
Valuing Tesla stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Tesla's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
As of March 6, 2023, the cost of 1 Tesla share was $193.81 (USD). Many online brokers offer zero commission or fractional stock trading, so make sure you compare brokers to find the right one for you.
Tesla has never declared dividends on our common stock. We intend on retaining all future earnings to finance future growth and therefore, do not anticipate paying any cash dividends in the foreseeable future.
Tesla acquired SolarCity to create the world's only vertically integrated sustainable energy company that offers a complete portfolio of residential, commercial and grid-scale products that enable customers to generate, store and consume energy entirely sustainably, through a suite of integrated products that add aesthetics and function while reducing cost. More details on the rationale behind the acquisition can be found here: -and-solarcityInvestor Presentation -teslas-combination-solarcity -and-solarcity-combine
In March 2022, the company announced plans to request stockholder approval for an increase in its number of shares at Tesla's upcoming annual meeting, which would enable the automaker to split its stock again. That three-for-one split took place in August.
To many consumers, Tesla Inc. is synonymous with electric cars and the broader clean energy movement. On Wall Street, Tesla's stock is often among the most actively traded stocks, with millions of shares changing hands each day. The stock is listed on the Nasdaq stock exchange under the ticker: TSLA.
In December 2020, Tesla joined the S&P 500, debuting as the then-fifth largest member and largest ever entry for this key stock index. Tesla is also in the tech-heavy Nasdaq 100 index. The carmaker is classified in the consumer discretionary sector and grouped alongside other consumer-focused companies like restaurants or retailers.
In fact, investing in Tesla may be best accomplished by buying a mutual fund or ETF that invests in this stock. That way, you can benefit from Tesla's gains (along with a broader swath of companies), ensure your portfolio is diversified (thanks to a mix of various stocks), and avoid risks associated with investing in individual stocks.
If you are new to investing, start by buying index funds and building a diversified portfolio that includes stocks, bonds, mutual funds, ETFs and alternative assets. Because individual stocks often are more volatile than the overall market, you should limit your exposure to any one stock.
Tesla has long been a popular stock. The company, led by Elon Musk, has revolutionized the automotive industry with its offering of futuristic electric vehicles. And despite numerous price swings, it has seen quite the surge in value since the stock's public debut in 2010. In fact, its 10-year average annual return is currently more than 65%.
Brokerage accounts are digital vehicles that allow you to purchase investments like stocks, ETFs, options, bonds, mutual funds, and more. You can invest in Tesla through taxable individual or joint brokerage accounts. You can also use IRAs, though retirement accounts might not be the best move for the stock due to its volatile nature.
Quick tip: You don't have to solely rely on Tesla stock to get a piece of the company. You can also invest in index funds containing Tesla (e.g., the Vanguard 500 Index Fund (VFIAX) or Fidelity MSCI Consumer Discretionary Index ETF (FDIS).
"An index fund that houses Tesla shares may provide you with greater diversification because you are purchasing a basket of stocks rather than just Tesla stock," says Kirby. "This could be an advantage or a disadvantage and depends upon your appetite for risk and your investment timeframe, as well as the future outlook for Tesla stock versus the other stocks held in the index fund."
If you're thinking of investing in Tesla stock, you can buy shares without commissions, depending on the brokerage you choose. Plus, as of November 29, 2022, its current value sits at more than $180. If this price is too much per share, you can purchase portions of the full share price. For instance, once you reach the point of placing an order, you can select a dollar amount to invest in Tesla, as opposed to a share amount.
In addition, Tesla has a proven record of volatility, so it may not be best for investors in search of a fairly stable asset, nor is it likely a good idea for someone close to retirement. Generally, Tesla stock best suits those who can endure drastic movements in share price.
There isn't a one-size-fits-all initial investment amount when it comes to purchasing shares of a stock for the first time. Both the investment amount and number of shares will vary according to each trader's personal finances, risk tolerance, investing goals, and time horizon.
When investing in a stock for the first time, Kirby explains, it's important to remain mindful of the stock's risk as well as its potential for gain or loss. "Be sure you do not allocate too much of your portfolio to one stock," she says. "We typically advise no more than 5% of your total investable assets to one individual stock."
Unless you're day trading, you don't necessarily have to (nor should you) monitor your stock's price around the clock. But it's important to regularly check in on its performance while developing a wealth-building strategy that aligns with your financial situation and investing goals.
These simple steps can help you maintain your investment and see it generate returns, although it's important to understand that your stock's value will likely fluctuate due to factors beyond your control.
If you're buying Tesla stock for the first time, you'll need to set up a brokerage account to get started. It's also wise to do your due diligence on Tesla's financials and performance before deciding whether the company is a good fit for your risk tolerance and investing goals.
While you can purchase shares of the company either directly, through individual stock, or indirectly through index or mutual funds that contain Tesla, it's nonetheless important to trade with a strategy that both suits your skill level and goals and preserves your emergency fund and budget.
Twitter user @gurgavin posted on Saturday that Buffett and Munger's Berkshire Hathaway had over $128 billion in cash at the end of 2022, and asked which stocks the conglomerate should spend its money on.
In reality, Munger declined to bet on Tesla in 2008, and instead spearheaded Berkshire's $232 million investment in BYD that year. Berkshire's stake in the Chinese EV maker and Tesla rival ballooned in value to over $7 billion by early 2021, and the company has cashed in well over $1 billion of BYD stock in recent months.
It seems unlikely that Buffett and Munger will invest in Tesla anytime soon, given they own a chunk of a rival automaker, and have shied away from aggressively valued technology companies in the past. But Musk would clearly welcome their vote of confidence, and seems happy to give Munger a second chance to buy his stock.
After selecting the medium and gauging your risk appetite, it is important to understand your budgetary constraints. Stockal lets you invest in shares fractionally so you may necessarily not have to shell out a huge amount to invest in a particular US stock.
Stacks are pre-assembled collections of stocks and exchange-traded funds that you can buy with a single click. They are created by hedge funds, experienced wealth management businesses, global asset management corporations, and portfolio managers.
In early 2021, Tesla (TSLA) stock hit a 52-week high of $900. However, it has only yielded nominal returns on a year-to-date basis. This may be a classic case of euphoria in the stock market, where everyone may be flocking to buy a Tesla share.
The other way you can invest in Tesla stocks from India is through an ETF. ETFs refer to a collection of many stocks/bonds which are traded under one fund. They are similar to mutual funds. However, ETFs are traded on the stock exchange with real-time pricing and provide an easy and cheap way to get exposure to a sector or a group of companies. One option to invest via ETFs is that you buy an ETF on a platform like Vested.
Another way to invest in Tesla stocks from India is to buy ETFs available in India that invest in US indices like the Nasdaq 100. The Motilal Oswal Nasdaq 100 ETF in India has Tesla among its top holdings. You can also invest in a fund of fund like Mirae Asset NYSE FANG+ ETF Fund of Fund which has Tesla among one of its ten stocks. Remember, you can invest in these ETFs without opening a new US brokerage account. However, your returns might be impacted by tracking errors that these ETFs suffer from (we explain this in a video).
With a traditional brokerage, you open and fund an account, and then you can use the trading platform to purchase shares of stock. Many traditional brokers have made it relatively easy to invest with platforms that allow you to trade almost immediately. You can place orders and have them fulfilled automatically by the platform. 781b155fdc