Analyst: Tesla Overvalued

On Friday, Tesla was excluded from the S&P 500 index.

In a note released on Wednesday DataTrek said it was a "brave" decision.

The note said that the exclusion of Tesla surprised DataTrek's cofounder Nicholas Colas.

Colas speculated the S&P 500's committee think Tesla is "profoundly overvalued." Business Insider reports that Tesla has a market cap of $465 billion.

Tesla "sits on shakier fundamentals," likely contributing to the committee's decision to exclude Tesla, the note said.