2 Hot Growth Stocks Investors Should Avoid
This year's tech-led market rally is showing some signs of cooling. The tech-heavy Nasdaq Composite has declined nearly 1% since June 16. While it's debatable whether this signals that the Nasdaq Composite's strong momentum this year could take a breather for a while, one thing is likely: The index's 29% year-to-date rally has likely led to some stocks getting ahead of themselves.
There are certainly some Nasdaq-traded growth stocks looking stretched. Indeed, two of the most popular stocks of 2023 -- (NASDAQ: TSLA) and Nvidia (NASDAQ: NVDA) -- may have risen to the point that it may be wise to avoid them.
Electric car maker Tesla and graphics chip maker Nvidia have seen their stocks soar about 113% and 195% year to date respectively, leaving their valuations appearing stretched. This has led analysts to share some words of caution regarding both stocks this week. It may be worth investors' time to listen to what they have to say.
Source Fool.com
Tesla Inc Stock
Currently there is a rather positive sentiment for Tesla Inc with 72 Buy predictions and 29 Sell predictions.
As a result the target price of 240 € shows a slightly positive potential of 16.11% compared to the current price of 206.7 € for Tesla Inc.
