Wedbush falls his target on Tesla (NASDAQ: TSLA) to $ 230 from $ 275 after once uber-bull Dan Ives sees even darker clouds just in front of the neutralized EV slot.
"We continue to have major concerns about the path in Tesla's growth prospects and underlying demand for Model 3 in the US in the coming quarters that put more warmth in Musk & Tesla's kitchen to reign in spending at an accelerated rate with 2H19 profitability targets. a Kilimanjaro-like uphill climb, "warns Ives.
Ives and team see the best case deliveries totaling 360k to 370k for the whole year and a base scenario of 340K to 355K.
"In addition, with a code red situation at Tesla, Musk & Co. expands for insurance, robotaxis and other sci-fi projects / measures when the company is instead to be laser focused on increasing the core requirement according to model 3 and simplifying the business model and the cost structure in our opinion with headwinds abound, "he goes on.
Shares in Tesla are down 3.57% premarket at $ 203.60 after running 7.58% on Friday. Tesla has not traded below $ 200 since the end of 201