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00:03Investor Gary Black said Tesla shareholders will eventually want to see earnings revisions turn
00:08positive, even though the stock does not follow traditional growth metrics.
00:12In a post on X on Wednesday, Black said earnings revisions and valuation matter less for Tesla,
00:18but added that both 2026 and 2030 earnings revisions, which include RoboTaxi and Optimus
00:25estimates, remain negative. He said Tesla's valuation is driven by multiple expansion,
00:31rising from 60 times one year forward EPS in January 2024 to 196 times currently.
00:39Black said future growth remains strong, but described the valuation as difficult to justify.
00:45He reiterated earlier comments that he likes Tesla as a company,
00:48but exited the stock due to valuation concerns.
00:50For all things money, visit Benzinga.com.
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