Tesla's stock is experiencing downward pressure following a downgrade from Punto Casa de Bolsa, which cut its rating to "sell" and set a price target of $364.44. This move reflects a significant bearish sentiment from the brokerage, which cited concerns over Tesla's valuation and potential headwinds in the electric vehicle market. The downgrade comes amid broader market uncertainties and competitive pressures that could impact Tesla's growth trajectory. Analysts at Punto Casa de Bolsa highlighted that the current stock price does not align with their assessment of Tesla's future earnings potential, prompting the revised outlook.
The downgrade has sparked discussions among investors about Tesla's ability to maintain its market position and justify its current valuation. The price target of $364.44 suggests a substantial downside from current levels, indicating that Punto Casa de Bolsa sees limited upside potential in the near term. This sentiment is echoed by other market participants who are closely monitoring Tesla's performance in an increasingly competitive landscape.
Tesla (TSLA) shares are down 1.85% to $471 as of 7:40 am on December 18th, compared to its previous close of $479.86 on December 17th.