> Saying that a share is overvalued against its "intrinsic" value is not saying the share is overvalued
It is exactly what it means [1]
> or will go down.
The intrinsic value of a lottery ticket is below the price you pay, it doesn't mean you can never win. That said, nobody knows the intrinsic value. In the case of TSLA you have a range of sell-side analysts telling you it's somewhere between $178 and $400. (Edit: to be fair, probably they are using multiples [2] and not a proper intrinsic value calculation. A DCF doesn't get you very far in the current market, much less so in companies like Tesla. For a discussion based on fundamentals see [3]).
It is exactly what it means [1]
> or will go down.
The intrinsic value of a lottery ticket is below the price you pay, it doesn't mean you can never win. That said, nobody knows the intrinsic value. In the case of TSLA you have a range of sell-side analysts telling you it's somewhere between $178 and $400. (Edit: to be fair, probably they are using multiples [2] and not a proper intrinsic value calculation. A DCF doesn't get you very far in the current market, much less so in companies like Tesla. For a discussion based on fundamentals see [3]).
[1] https://en.wikipedia.org/wiki/Intrinsic_value_(finance)
[2] https://en.wikipedia.org/wiki/Valuation_using_multiples
[3] http://aswathdamodaran.blogspot.ch/2014/03/return-to-firing-...