How to Buy Tesla Stock?
Buy Tesla Stock easily with the following steps.
Tesla stock is one of the most expensive stocks out there. As of December 13, 2021, a share of Tesla costs is $ 966.41. So, Tesla stock can be very expensive to buy? But the question is, is it worth it? Is it the best stocks to buy?
Buying Tesla stock, as buying any individual stock, should be approached with caution. The electric vehicle (EV) industry is on the rise. And Tesla is a leader in that industry. Therefore, the potential for the stock’s growth is high. However, before deciding to purchase Tesla shares, you must do your research.
If you’re curious how to go about buying Tesla stock here’s how to do it.
If you need help figuring out if Tesla is a stock worth buying, a financial advisor near you may provide some guidance.
Buy Tesla Stock: Learn About the Company
Before we address the question of how to buy Tesla stock, we need to know about Tesla. Tesla is a public traded company involving in electric cars and clean energy. The company is headquartered in Austin, Texas.
According to Wikipedia, Tesla designs and manufactures electric cars, battery energy storage from home to grid scale, solar panels and solar roof tiles. The company was founded by Elon Musk, Martin Eberhard, JB Straubel, Marc Tarpenning, and Ian Wright. The company has approximately 70,757 employees.
As of December 14, 2021, A Tesla (TSLA) share costs $ 939.00. On November 4, 2021, the stock reached $ 1,243.49 as its highest price. A year ago, in 2020m around the same date, the stock price was in the $ 500 to $ 600. This is proof that Tesla is growing.
The company’s financials are solid. Tesla has a market capitalization of 947.519 billion; it reached $ 1.02 trillion recently. Its total debt is $ 10.16 billion. Its cash flow is around $ 16.10 billion. The revenue in December of 2020 was $ 31.54 billion. See more information on Tesla financials.
Buy Tesla Stock In 2 Ways
There are 2 main ways to buy Tesla stock. You can buy a Tesla stock through a brokerage account or through a financial advisor.
Buy Tesla Stock Through a Brokerage Account
The easiest way to buy Tesla stock is through a brokerage account. Here are some steps by steps:
- Compare brokerage platforms to help you find the one that fits you. Webull, Ameritrade, Vanguard, Fidelity, Robinwood are great brokerage firms to buy Tesla stock from.
- Open your brokerage account by completing an application with your information.
- Confirm your payment information
- Research the Tesla stock. Find the stock symbol (TSLA) and research it to decide if it is a good investment for you.
- Buy your Tesla stock now or later. You can buy your desired number of shares with a market order or use limit order to delay your purchase until the stock reaches a desired price.
Buy Tesla stock through the help of a financial advisor.
Another simple way to buy Tesla stock is through a financial advisor. Financial advisors can advise on multiple money subjects. They can advise on how to buy a house, how to save money for your children’s education, or how to invest money and in which investment vehicles to park your hard earned cash.
Finding the right financial advisor that fits your needs doesn’t have to be hard. SmartAsset’s free tool matches you with fiduciary advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is legally bound to act in your best interests. If you’re ready to buy Tesla stock, get started now.
Should You Buy Tesla Stock?
The fact that Tesla has been growing does not mean its stock will be hot as well. Taking the time to research the company can help you make an informed decision as to whether you should add it to your portfolio.
Considering The Motley Fool’s Stock Picks
If you are picking your own stocks, why not getting some expert’s point of view. The Motley Fool Stock Advisory is a useful resource that allows you to hit the ground running when you’re trying to pick the best stocks to buy. It’s a stock picking service.
Since 2002, the Motley Fool Stock Advisory picks have dramatically outperformed major market indexes. In fact, Stock Advisor picks returned 598% through May 2021, compared with 133% on the S&P 500 index. Among other benefits when you sign up is that you get 2 new stock recommendations per month, 10 timely stock picks per month. Learn more about the Motley Fool Stock Advisory.
Does Tesla Stock Fits into Your Portfolio?
If you’ve decided that Tesla is right for you personally, then the next step is to decide if its stock will align with your investment goals and risk tolerance.
Tesla is in the electric vehicle sector, and that means it can add diversification to your portfolio.
For many people especially beginner or conservative investors, the best way to do that is through mutual funds or index funds. Rather than buying individual stocks, they invest in mutual funds that expose them to a range of different stocks.
So, if one stock within the fund is not performing well, the other stocks balance it out, thus spreading the risk. A Vanguard mutual fund and many other companies will likely hold shares of Tesla when they are available.
How much should you invest in Tesla stock?
Before you decide to buy Tesla stock, whether it’s a thousand shares of 50 shares, you should be thinking how much money to invest.
Tesla stock has been in the $ 1000s. Expect it to grow beyond that.
Regardless of the price, you should invest your money in a stock that is likely to grow in value in the long run. In other words, make sure Tesla stock is a good value stock before you buy it.
One of the best indicators of whether a stock has a good value is the PE ratio. The P / E ratio measures the price of the stock relative to the company’s earnings or profits, giving you a good sense of the stock’s value.
So, the P / E ratio is very important in evaluating a stock.
Another indicator is a dividends. Dividends is money the company pays yearly or quarterly to its shareholders.
Most US companies pay out dividends. But the ones that have consistently paid dividends, during good and tough time, are usually good ones. The downside of owning Tesla share is that the company does not pay out dividends.
So, the stock price alone does not tell the whole picture of a stock.
Buy Tesla Stock: The Bottom Line
Tesla stock might be a good buy for you. However, your decision to purchase Tesla shares will be based on your research of the company and whether this type of stock fits into your investment portfolio. But if you’re looking for a great EV stock, then Tesla could be a worthwhile buy.
20 Questions to Know If You’re Ready for Retirement
Finding the right financial advisor that fits your needs doesn’t have to be difficult. SmartAsset’s free tool matches you with fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is leally bound to act in your best interests. If you’re ready to be matched with local advisors that will help you achieve your financial goals, get started now.