Shares in Tesla fell, extending losses this month to more than 15 per cent, after Wells Fargo analyst Colin Langan added his voice to concerns about the near-term outlook for the electric vehicle maker. In New York, shares in Tesla shed 4.5 per cent to $US169.48. The stock has tumbled more than 30 per cent so far in 2024, cutting its market cap to $US531 billion ($801 billion).
Mr Langan downgraded Tesla to underweight and cut his price target to $US125 from $US200, saying he sees downside risk to EV sales volume as price cuts are having a diminishing impact. He is forecasting zero growth in sales volumes this year and a decline in 2025. Among three assessments of the outlook for Tesla’s stock, Mr Langan has a potential upside price target of $US252 and a potential downside one of $US44. Mr Langan is among an increasing number of analysts, including those at Deutsche Bank earlier this week, who are concerned that Tesla will report a sharp drop in first-quarter deliveries