--- title: "Gary Black Says Tesla Bulls Are Ignoring Valuation: ‘Loving the Product Doesn’t Mean You Should Love the Stock’" type: "News" locale: "en" url: "https://longbridge.com/en/news/296028375.md" description: "Tesla investor Gary Black warns that bulls are ignoring valuation risks, stating 'Loving the product doesn’t mean you should love the stock.' He highlights a projected 200x P/E ratio for 2026 and a PEG ratio of 5.7x, significantly above the Magnificent 8 average. Black urges investors to focus on reasonable pricing rather than emotional attachment to Tesla's leadership or products." datetime: "2026-08-16T14:26:33.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/296028375.md) - [en](https://longbridge.com/en/news/296028375.md) - [zh-HK](https://longbridge.com/zh-HK/news/296028375.md) --- # Gary Black Says Tesla Bulls Are Ignoring Valuation: ‘Loving the Product Doesn’t Mean You Should Love the Stock’ **Tesla Inc.** (NASDAQ:TSLA) investor **Gary Black**  has once again raised a red flag regarding the valuation of the **Elon Musk**\-led EV giant, urging investors to pay attention to stock valuation metrics. ## **Black Warns Of Overlooking Valuation Risks** In a post on social media platform **X**, Black cautioned Tesla enthusiasts about the risks of overlooking whether the stock is reasonably priced. He pointed out that despite admiration for Tesla’s products and leadership, the company’s current valuation could pose challenges for investors. **Read Also: SpaceX's Share Lock-Up Expires, and This Former Engineer Says He'll Sell SPCX ‘a Little Bit More’** Black noted that Tesla’s price-to-earnings (PE) ratio is projected to be 200x for 2026, with an expected long-term growth rate of 35%. This results in a price/earnings-to-growth (PEG) ratio of 5.7x, significantly higher than the average of 2.4x for Magnificent 8 stocks. Emphasizing the importance of valuation in investment decisions, Black stated, "Loving the product doesn’t mean you should love the stock." > I rarely see $TSLA bulls on X posting on whether TSLA is cheap or expensive. It seems that since they love the products and leadership team they don’t care about the valuation. But at a 2026 P/E of 200x and long-term expected growth of +35%, it will be hard for an investor… pic.twitter.com/WCui1cViey > > — Gary Black (@garyblack00) August 16, 2026 ## **Black’s Cautionary Note About Tesla’s Marketing Strategy** Black’s concerns are not new. In a previous warning, he highlighted that Tesla cannot match **Apple Inc.’s** (NASDAQ:AAPL) marketing prowess by relying solely on word-of-mouth and Musk’s posts on X. He argued that Tesla needs to invest in professional marketing to expand beyond electric vehicles into autonomous driving and robotics. Furthermore, Black has expressed concerns about Tesla’s self-driving ambitions. In a series of posts, he noted that investors are losing faith in Tesla’s ability to scale autonomy, blaming Musk’s vision-only approach. Black has also criticized the "cult" mentality among some Tesla investors, urging them not to fall in love with the stock. He has previously stated that those who bought Tesla over the past five years underperformed compared to a basket of Nasdaq-100 names. He valued Tesla at $312 and warned investors not to become too attached to the stock. **Read Also: EXCLUSIVE: Ross Gerber Says Tesla Could ‘Double’ Sales Without Elon Musk, Warns Investors on SpaceX Merger** **_Disclaimer:_** _This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors._ _Photo courtesy: Shutterstock_ ### Related Stocks - [TSLA.US](https://longbridge.com/en/quote/TSLA.US.md) - [TSL.US](https://longbridge.com/en/quote/TSL.US.md) - [TESL.US](https://longbridge.com/en/quote/TESL.US.md) - [TSLG.US](https://longbridge.com/en/quote/TSLG.US.md) - [TSLR.US](https://longbridge.com/en/quote/TSLR.US.md) - [TSLT.US](https://longbridge.com/en/quote/TSLT.US.md) - [TSLL.US](https://longbridge.com/en/quote/TSLL.US.md) - [TSDD.US](https://longbridge.com/en/quote/TSDD.US.md) - [TSLQ.US](https://longbridge.com/en/quote/TSLQ.US.md) - [TSLS.US](https://longbridge.com/en/quote/TSLS.US.md) - [TSLZ.US](https://longbridge.com/en/quote/TSLZ.US.md) - [TSLI.US](https://longbridge.com/en/quote/TSLI.US.md) - [TSLO.US](https://longbridge.com/en/quote/TSLO.US.md) - [TSLW.US](https://longbridge.com/en/quote/TSLW.US.md) - [TSLY.US](https://longbridge.com/en/quote/TSLY.US.md) - [TSYY.US](https://longbridge.com/en/quote/TSYY.US.md) - [TYYY.US](https://longbridge.com/en/quote/TYYY.US.md) - [CRSH.US](https://longbridge.com/en/quote/CRSH.US.md) - [TSLP.US](https://longbridge.com/en/quote/TSLP.US.md) - [MAGX.US](https://longbridge.com/en/quote/MAGX.US.md) - [07766.HK](https://longbridge.com/en/quote/07766.HK.md) - [09366.HK](https://longbridge.com/en/quote/09366.HK.md) - [AAPL.US](https://longbridge.com/en/quote/AAPL.US.md) - [.NDX.US](https://longbridge.com/en/quote/.NDX.US.md) - [SSTK.US](https://longbridge.com/en/quote/SSTK.US.md) ## Related News & Research - [Tesla Is Finally Getting Ready to Demo a Flying Roadster. It May Not Stop the Sell-Off in TSLA Stock.](https://longbridge.com/en/news/296139457.md) - [Tesla Reportedly Cutting Production In China In January — Not Clear Why](https://longbridge.com/en/news/295870120.md) - [Tesla's design chief says Roadster's reveal is coming 'very soon'](https://longbridge.com/en/news/295557357.md) - [William Mack & Associates Inc. Boosts Position in Tesla, Inc. $TSLA](https://longbridge.com/en/news/295647943.md) - [Tema ETFs LLC Has $14.28 Million Holdings in Tesla, Inc. $TSLA](https://longbridge.com/en/news/295648977.md)