According to a report from Wells Fargo, Tesla (TSLA, Financial) investors may face ongoing challenges. Analyst Colin Langan suggests that Tesla's stock price could continue to decline toward their target of $130 per share, indicating a potential drop of 53% from current levels.
Wells Fargo has reaffirmed its "underweight" rating on the stock and listed Tesla in its tactical views for the second quarter, implying a lack of immediate rebound prospects. The bank identifies five key issues potentially affecting Tesla, including declining deliveries in Europe, China, and the U.S., an expected 25% decrease in profits, and an unattractive valuation.
