Guest essay by Eric Worrall
Tesla is “overvalued” according to the Nordea Global Climate and Environmental Fund.
Tesla Is Dropped by Climate Fund That’s Beaten 97% of Its Peers
By Jonas Cho Walsgard
3 October 2017, 00:13 GMT+10 3 October 2017, 08:01 GMT+10
Tesla Inc. is overvalued, according to a climate fund that has beaten 97 percent of its peers.
“We don’t see upside,” Thomas Sorensen, who manages the Nordea Global Climate and Environmental Fund, said by phone on Thursday. “What’s needed in cash flow generation to get to the current valuation — we don’t see that happening.”
With more and more climate-friendly products and services coming to market, investors are having a hard time valuing new technology. Tesla’s 60 percent share rise so far this year is testament to investor enthusiasm even as it reported losses in both the first and second quarter. But the turmoil created by the…
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