Certainly investors who love to try to break off a good puzzle have some materials to work with when it comes to Timing (Nasdaq: tsla). Tesla’s share price increased 48 % since April. Despite this strong performance, it is still 19 % less than the year has started.

This type of fluctuation will be noticeable even in a small company with a low market capitalization. But Tesla is a technical giant, even after losing nearly five of its value since the beginning of the year, is still proud of a market capital of more than $ 1. For that big company, this price fluctuation is unusual.

So, what is happening – and it may give me an opportunity to add the electric car maker to my wallet?

The evaluation is separate from the basics

There were some reasons to be optimistic about the financial expectations of Tasla this year. For example, power generation and storage work are launched on all cylinders. The self -driving taxi experiences in the United States were expanding.

But there were many questions about where the work went from here, in an increasingly difficult market.

Competitive electric car makers such as Byd and Xiaomi The pace was expanded. Tesla has not only seen its cars sales in the first half of this year, but it will also lose the US tax credits that have previously helped increase its profit.

Meanwhile, although self -driving taxi experiences in Tesla were expanding, I believe that their competitors, including them alphabetWaymo enjoys or more winning this market like Tesla.

While Tesla only recently launched experiments in one American city, Waymo has already has self -driving commercial taxi service and operation in that city and six others next to it.

Despite these challenges – and the risk of decreased sales can witness a decline in profits this year – Tesla’s share price is 182 times from the current profits. This looks ridiculously high for me when considering the company’s primary financial performance.

At the present time, I do nothing

So, what may explain the movement of wrong stock prices?

I think the jump since April reflects some calm of concerns that have been raised several months ago about the potential impact of American definitions on Tesla’s work.

But although this danger may have decreased (in practice, I still think it is too early), Tesla continues to face a very difficult environment on multiple fronts. This may partially explain the reason for the price of Tesla’s share by about five so far this year.

Even after this price is low, the class still looks very bilateral for meteers. On this basis, while I still see the strengths of Tesla and I will invest at the right price, I am planning not to do anything.