Barclays has revised its price target for Tesla (TSLA, Financial) shares, lowering it from $325 to $275 while maintaining an Equal Weight rating. Despite the complexity surrounding the stock as it approaches its first-quarter earnings announcement, there remains potential for positive performance.
Analysts highlight that Tesla is grappling with challenges related to weakening fundamentals. Specifically, the first-quarter auto margin, excluding credits, is anticipated to reach a record low. The firm expresses concerns about Tesla's ability to achieve significant volume growth by 2025.
Nonetheless, there's optimism surrounding CEO Elon Musk's potential increased involvement with the company. Additionally, the upcoming launch of unsupervised, driverless full self-driving technology in Austin, scheduled for June, is expected to generate enthusiasm among investors and consumers alike.
Barclays suggests that despite underlying weaknesses, a strong narrative could bolster investor sentiment and offset concerns over Tesla's fundamentals.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 44 analysts, the average target price for Tesla Inc (TSLA, Financial) is $306.77 with a high estimate of $465.70 and a low estimate of $24.86. The average target implies an upside of 27.09% from the current price of $241.38. More detailed estimate data can be found on the Tesla Inc (TSLA) Forecast page.
Based on the consensus recommendation from 54 brokerage firms, Tesla Inc's (TSLA, Financial) average brokerage recommendation is currently 2.7, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Tesla Inc (TSLA, Financial) in one year is $290.87, suggesting a upside of 20.5% from the current price of $241.38. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Tesla Inc (TSLA) Summary page.
