Tesla: Jefferies maintains 'underperform' rating
(CercleFinance.com) - Jefferies has raised its target price for Tesla from 240 dollars to 250 dollars, while maintaining its "underperform" rating on the stock ahead of the release of Q1 unit estimates on 2 April.
The broker says it assumes deliveries of 35,000 vehicles over the first three months of the year, including 10,000 Model 3 and a gross margin of 13%.
Even so, Jefferies thinks valuing Tesla remains challenging, citing "high cash burn" in 2017.
According to the broker, the first half 2018 is likely to see a low point in cash, prompting Jefferies to expect a capital increase of between 2.5 billion dollars and 3 billion dollars.
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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 broker says it assumes deliveries of 35,000 vehicles over the first three months of the year, including 10,000 Model 3 and a gross margin of 13%.
Even so, Jefferies thinks valuing Tesla remains challenging, citing "high cash burn" in 2017.
According to the broker, the first half 2018 is likely to see a low point in cash, prompting Jefferies to expect a capital increase of between 2.5 billion dollars and 3 billion dollars.
Copyright (c) 2018 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.