Tesla logo and Elon Musk’s silhouette. December 19, 2022. © Reuters=News1 © News1, reporter Shin Eun-bin
(Seoul=News1) Reporter Park Hyeong-ki: Even Dan Ives, a Tesla specialist analyst at Wedbush Securities, which is known as a major Tesla fan on Wall Street, has significantly lowered Tesla’s target price.
Ives, in a report on the 6th (local time), maintained the investment rating but lowered the target price from $550 to $315. As of that day, Tesla’s stock price was $239.
He drastically lowered the target price, saying that Tesla’s sales in China would decline further due to the escalating trade war.
On the 2nd, the U.S. imposed a 34% mutual tariff on China, and China retaliated with a 34% tariff on the 4th. As a result, the US-China trade war is expected to intensify further.
Ives predicted that Tesla’s sales in China, which were already sluggish, would decline even further.
He also argued that “Elon Musk, Tesla’s CEO, needs to return to his duties quickly.”
Meanwhile, Tesla plummeted by 10.42% over the weekend, and since the announcement of Trump’s tariffs, it has fallen by 17% in two days. Consequently, Tesla’s stock has dropped 40% this year and more than 50% from its peak.
Tesla’s daily stock price trend over the weekend – Yahoo Finance snapshot