TSLA Stock News: Tesla rebounds despite pair of price downgrades from analysts
Premium|
Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get all exclusive analysis, access our analysis and get Gold and signals alerts
Elevate your trading Journey.
UPGRADE- NASDAQ: TSLA gained 5.3% during Tuesday’s trading session.
- Two Wall Street analysts lowered their price targets for Tesla due to unexpected headwinds.
- CEO Elon Musk attributed the recent price decrease to lower input costs.
Tesla (TSLA) shrugged off a pair of analyst price downgrades on Tuesday as an important note from CEO Elon Musk was music to investors' ears. Shares of TSLA rebounded by 5.3% and closed the trading session at a price of $222.41. Stocks rose for the third straight day with all three major averages closing higher ahead of earnings reports from big tech companies later this week. Alphabet (GOOGL) and Microsoft (MSFT) kicked things off with disappointing calls, and both stocks were down by about 7% in extended trading. Overall, the Dow Jones added 1.01, the S&P 500 gained 1.6%, and the Nasdaq rose by a further 2.3%.
Tesla stock price
On Tuesday, two Wall Street analysts declared a downgrade to Tesla’s stock price. Berenberg Bank and Morgan Stanley both provided lower targets due to what Adam Jonas described as unexpected headwinds for the rest of this year and into 2023. Jonas did not go into too much detail about what these headwinds might be, but investors should take notice as he has been one of the strongest Tesla bulls on Wall Street. Jonas did maintain his Overweight rating for the stock.
Tesla’s stock shrugged off these analyst downgrades because of some optimistic words from Musk. On Tuesday, Musk explained that the recent decrease in Chinese MSRP for the Model Y and Model 3 was because input costs were decreasing. Musk also spoke about a new Tesla production platform that could slash production costs in the future. Given that margins will likely fall as prices are slashed, it makes sense that costs are falling as well.
TSLA 5-minute chart 10/26/22
- NASDAQ: TSLA gained 5.3% during Tuesday’s trading session.
- Two Wall Street analysts lowered their price targets for Tesla due to unexpected headwinds.
- CEO Elon Musk attributed the recent price decrease to lower input costs.
Tesla (TSLA) shrugged off a pair of analyst price downgrades on Tuesday as an important note from CEO Elon Musk was music to investors' ears. Shares of TSLA rebounded by 5.3% and closed the trading session at a price of $222.41. Stocks rose for the third straight day with all three major averages closing higher ahead of earnings reports from big tech companies later this week. Alphabet (GOOGL) and Microsoft (MSFT) kicked things off with disappointing calls, and both stocks were down by about 7% in extended trading. Overall, the Dow Jones added 1.01, the S&P 500 gained 1.6%, and the Nasdaq rose by a further 2.3%.
Tesla stock price
On Tuesday, two Wall Street analysts declared a downgrade to Tesla’s stock price. Berenberg Bank and Morgan Stanley both provided lower targets due to what Adam Jonas described as unexpected headwinds for the rest of this year and into 2023. Jonas did not go into too much detail about what these headwinds might be, but investors should take notice as he has been one of the strongest Tesla bulls on Wall Street. Jonas did maintain his Overweight rating for the stock.
Tesla’s stock shrugged off these analyst downgrades because of some optimistic words from Musk. On Tuesday, Musk explained that the recent decrease in Chinese MSRP for the Model Y and Model 3 was because input costs were decreasing. Musk also spoke about a new Tesla production platform that could slash production costs in the future. Given that margins will likely fall as prices are slashed, it makes sense that costs are falling as well.
TSLA 5-minute chart 10/26/22
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.