Tesla: Barclays raises target, remains 'weighted in line
(CercleFinance.com) - On Wednesday, Barclays raised its price target on Tesla from $180 to $225, while renewing its 'weight in line' recommendation on the stock ahead of the electric vehicle manufacturer's second-quarter results.
According to the intermediary, the publication could well force investors to open their eyes to the difficulties the group is still experiencing with its fundamentals, and wipe out the favorable stock market momentum the stock has been enjoying for some time.
According to Barclays, these figures should highlight the pressure currently being exerted on the company's margins, even though they may be starting to approach a bottom level.
For the second quarter, the analyst expects an automotive gross margin of 16%, below consensus, due to low sales prices for its models.
Barclays believes, however, that any feverishness in the share price that may follow this disappointment will prove short-lived, before the market turns its attention back to the promise of developments in autonomous driving and AI.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
According to the intermediary, the publication could well force investors to open their eyes to the difficulties the group is still experiencing with its fundamentals, and wipe out the favorable stock market momentum the stock has been enjoying for some time.
According to Barclays, these figures should highlight the pressure currently being exerted on the company's margins, even though they may be starting to approach a bottom level.
For the second quarter, the analyst expects an automotive gross margin of 16%, below consensus, due to low sales prices for its models.
Barclays believes, however, that any feverishness in the share price that may follow this disappointment will prove short-lived, before the market turns its attention back to the promise of developments in autonomous driving and AI.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.