Tesla: Canaccord still a buyer, but cuts TP

(CercleFinance.com) - Canaccord Genuity reinstates its "buy" recommendation on Tesla, although has reduced its corresponding target price from 1071 dollars to 974 dollars (closing price yesterday: 719 dollars, -2.
6%), the day after the electric vehicle maker released its Q1 2021 results.

The broker says its target is based on a 2024 EV/EBITDA multiple of 60x. It recognises that this multiple is rich, but also believe that Tesla maintains a significant market advantage that we are trying to capture.

While it is reducing its target price to reflect near-term headwinds, Canaccord says it expects accelerated growth in the energy storage and generation business, with revenues conservatively expected to exceed 8 billion dollars in 2025.


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