Fisker Karma vs Tesla Roadster (TSLA)

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With the Market tanking Monday morning, we profile a stock that could be worthy of a short.

The stock we think has it's work cut out for it in competition from Fisker automotive is Tesla (TSLA).

Let's take a look at the fundamentals and technicals first before getting into why Tesla's Roadster could turn into a dud.

Over the past 12 months Tesla Motors Inc (TSLA) shares have traded between $21.5 and its 52-week high of $39.95.  Tesla Motors Inc shares are now trading with a P/E Ratio of 0 and EPS of -2.87.

Tesla's price action has done a nice job of finding support around $30, and is currently in a rising channel. We like Tesla with price below the moving averages. Look for a rollover below $30.50 where share price could fall all the way down to the $26 - 28 range.

 

Still with me? The bears are well aware of potential issues with TSLA, with short interest currently pegged at 45%. Here is why:

The electric Tesla Roadster was the car of choice for ecofriendly tech barons and Hollywood types. Until the hybrid Fisker Karma came along.

Check out this article by Alexandra Wolfe at departures.com, great piece of writing on why the Fisker Karma is giving Tesla a run for its money: Tesla Roadster Versus Fisker Karma.

I saw a Fisker Karma today at Fry's (see the main photo) and trust me, this car is going to be hot.The only thing the Karma doesn't have going for it, is Justin Bieber just got one:


 

Tesla has plans to bring back the Roadster in 2014. Good luck on that, Tesla.

First, the Roadster isn't even in production anymore.Second, the model S will outperform and out produce the Fisker's limited productIon capacity.Lastly, my money is on Elon Musk, a proven CEO who has successfully commercialized a space program.Now just think what he will do with Tesla!