Will Apple buy Tesla?
“Apple reportedly offered to buy Tesla at a price around $240 per share in 2013, said Roth Capital Partners analyst Craig Irwin on Tuesday,” Daniel Sparks writes for The Motley Fool. “The surprise news comes as the electric-car maker’s shares fell below $200 amid growing concerns from analysts covering the stock.”
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“Though the bid was in 2013, recent pressure on Tesla’s stock price makes this news particularly interesting. After all, in 2013, Tesla was only delivering just over 22,000 vehicles a year. Trailing-12-month deliveries today, however, are closing in on 300,000,” Sparks writes. “If Apple really did consider buying Tesla at a higher price when sales were much lower, it would make sense for the tech giant to revisit the potential acquisition as the automaker’s stock slumps.”
“If there ever were a good time for Tesla to accept a buyout offer from Apple, today would be it. Shares have been under immense pressure recently, sliding nearly 30% over the past 30 days as investors fret the company’s big first-quarter loss and as a growing number of analysts make bearish calls on the stock,” Sparks writes. “The big holdup for Apple, of course, could be the capital-intensive nature of Tesla’s business that has made sustainableprofitability look like a pipe dream to date. ”
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