Tesla (TSLA) shares were spiked this week after the Electrek website reported a leaked email from CEO Elon Musk stating that the electric car manufacturer has "a shot" at delivering a record 100,000 cars by the end of third quarter. 19659002] But there is a market scientist who prefers to err on the side of caution.
"You have to give them credit for what they have done in the last two quarters, but in the end I see it as the start of what is going to be a challenging period going forward," said Dan Ives, Wedbush Securities CEO of The ticker.
"It comes down to street skepticism and ours about what it looks like from a profitability perspective … demand is going to decline as we enter next year," he added. In another way, he said, "If I'm an ox right now, I don't throw the champagne yet for Tesla, "he said.
Tesla achieved its global delivery record last quarter, delivering over 95,000 electric cars, and if Musk is right, it should have been set for another record-breaking quarter. But that's not enough for Ives, who is still on guard against Tesla's view.
"I see that this is nothing but … if you look at an NFL team, they only get four wins this season," Ives said. "Good for those wins, not a good season."
Ives predicted that this quarter's delivery range would be 88,000-90,000 units. He maintains a neutral rating on the stock and a 12-month price target of $ 220. He believes the move comes from the "U.S. demand and improved European trajectory, combined with weaknesses in China. "
" China is really the engine of the engine for Musk and Tesla going forward, "he said." Not only with Giga 3 in China, but also in terms of overall demand there. "
Tesla has" doubled down " in China, seeking to strengthen the local team at the Shanghai plant with over 200 jobs listed on the site.
Ives said next year that it's all about China and Europe for Tesla – that's why Gigafactory 3 He said that while the company is at the forefront of the electric vehicle market, the future of China is truly "a fork in the road" for the automaker.
Grete Suarez is a producer at Yahoo Finance for YFi PM and The Ticker Follow her on Twitter : @GreteSuarez
Read more :
Follow Yahoooo Finance on Twitter Facebook  Instagram Flipboard SmartNews LinkedIn YouTube and reddit .