Google (Alphabet)
The Tesla Bubble and why P/E Ratio's MatterTesla is high by any standard value or technical view.
Here I use the PE ratio as compared to TSLA, AMZN, AAPL and GOOGL and a super stock I am going to call "Amagoogle" to demonstrate just how overdone I think Tesla is.
To summarize, I will show:
How relative P/E (Price to Earnings Ratio) compare. Growth stocks typically have very high PE ratio's , mature industries like utilities and consumer staples tend to be on the lower side. For a benchmark, the S&P 500 PE right now is 37.97 with it's all time high spike at 123.73 and it's low at 5.31. The average is 15.88. Telsa's is currently 1,637 ! www.multpl.com
If Tesla had Alphabet's earnings but maintained it's current PE, it would have to trade at $84,708 PER SHARE
If Tesla had Apple's very high PE, it would be trading at $45.50 per share.
If Telsa had a double whammy of Alphabet's great EPS AND Apple's arguably very high PE, Tesla would be at $4,709 per share - but that would mean a growth in earnings of 103.58 TIMES.
Book recommendation to help avoid these scenario's: read.amazon.ca
Happy Trading!
Rob
TWTR 1 hour trendlines with bottom supportI still think we have more room to fall. Regardless of your political views, the press has been all over Twitter (and big tech) the last few days and the response hasn't been that great. We can also see that from the massive amount of selling the last 24 hours, specifically on Twitter.
Continue to play PUTS on this. Entering again tomorrow. Was in puts 01/11 but sold the same day.
$TWTR $FB $SPY $GOOG
GOOGLE Sustainable growth for the next 3 months?Just a fractal play but tell me don't those two sequences have a lot in common? First an aggressive Bull Phase 1 and then a more sustainable Bull Phase 2, supported by the 1D MA50 (blue trend-line). Can GOOG repeat this pattern?
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DJI - SPX - US Supreme Court Attack on Google kills bull market?Rumblings about the US supreme court Anti trust case against Google, could be a psychological turning point soon.
History going back over 120 years, (see chart) shows where the US Supreme court has sued Big corporations for antitrust monopolies.
When the US government begins attacking some of the most profitable and innovative companies, we have found that the market is
usually near the peak optimism in the stock market index.
Could we see other antitrust suits filed soon against Amazon, Apple, Facebook, etc in the near future?
Will the stock market end its 12 year bull run?
Could these stocks become short candidates soon?
Google , where to buy ?Hello friends ,
I have analyzed how I see the future of google, in the current situation of the virus outbreak.
In the event that this situation continues, all technology companies will have the same result.
At a minimum, it will have a fall of the same length as the previous one, although it could be worse.
I indicate my 3 points, where I would buy the long-term action.
I await your opinion on this current situation.
SAP ready for a slow n steady climb back up ? SAP was until recently the largest tech company in Europe, Now replaced by PROSUS but after a disappointing Q3 earnings it fell 20%+.
Total revenue fell 4% to €6.54 billion, cloud and software revenue fell 2% and operating profit fell 12%. However, Pure-cloud services grew 11%, to €1.98 billion.
SAP’s revenue was around €300 million under expectations, though per-share profit beat expectations.
“Over the next two years, we expect to see muted growth of revenue accompanied by a flat to slightly lower operating profit. After 2022 momentum will pick up considerably though. Initial headwinds of the accelerated cloud transition will start to turn into tailwinds for revenue and profit. That translates to accelerated revenue growth and double digit operating profit growth from 2023 onwards,” SAP CFO Luka Mucic said in a call with analysts.
Looking to scale in when price is in BUY ZONE (purple box), with Entry target of $100. Stop Loss $90. Exit target MINIMUM 2:1 RR , look at levels to find an exit.
This will probably be a longer term play due to the revised forecast targets being pushed back from 2023 to 2025
THIS IS NOT FINANCIAL ADVICE, JUST A RANDOM IDEA