Morgan Stanley and Citi both think Tesla stock has become newsworthy after its sharp decline in recent months. Luxor has been winning big lately.
Is it time to go back to buying are you here
? In any case, this is the opinion of many analysts, including Morgan Stanley and Citi. They judge for that Stock down in recent months “balance the risk-reward ratio In the short term,” we could read in a note published on Wednesday, quoted by Bloomberg.
Subsequently, Citi raised its opinion of Tesla to “Neutral” versus “Sell” previously. His price target is set at $176. This is one of the lowest price targets among all financial analyst targets.
On Tuesday, Tesla stock fell to $166.19 during trading, its lowest level in two years. Since the beginning of this year, it has fallen by more than 50%..
In doing so, the electric car maker’s stock approached the “pessimistic scenario” $150 price of Morgan Stanley. According to the investment banking analyst, who published a note on the matter on Wednesday, This allows investors to buy Tesla at an attractive price.
Adam Jonas points out that despite challenges such as slowing demand and price cuts in China, Tesla is the only automaker that makes a profit selling electric cars. He therefore maintains his recommendation (“Overweight”) and his price target of $330.
These comments attracted the attention of investors on tesla. On Wednesday, shortly after the Wall Street open, the automaker’s stock rose more than 4%.
On Tuesday, Bloomberg noted that given the recent Tesla stock market crash, The average analyst target for this stock appears to be a long way off. In fact, they expect the title to, on average, reach $302 within a year, which would mean an 80% increase in Tesla’s stock price in twelve months.
A performance that seems impossible to achieve. Unless a rapid rise in prices forces the “short sellers” out of their bearish positions Tesla is in for a disaster, similar to what has been seen in some stock cards, i.e. stocks that have become popular among investors who don’t care much about the underlying financials.
“Analyst ratings point to a strong future for Tesla.”
Indeed, according to data released last week by GraniteShares, a derivatives provider that allows shorting stocks with leverage that can triple the bet, of investors who have “shorted” Tesla have returned 166% in the past 3 monthsA period in which the car manufacturer’s title was deciphered by 35%. In the long term, “analyst ratings indicate that there is a strong future for Tesla, regardless of the short-term difficulties affecting the price action,” Nuance from GraniteShares.
Although Tesla’s stock market has fallen in recent months, Its price is still showing an almost 700% rise in five years. In one way or another, Elon Musk’s moniker of the eccentric billionaire group is likely to continue to bring joy and sadness to many investors eager for risky bets.