On Monday, December 19th, analyst Colin Rusch at Oppenheimer Securities released a research report downgrading Tesla’s stock to Perform, from a Outperform rating.
Elon Musk’s role as the administrator of the social media platform Twitter was cited as the reason why Oppenheimer analyst Colin Rusch downgraded Tesla Inc. to perform. “The combination of Twitter’s unclear cash needs and diminishing options for Mr. Musk to serve those needs amid the broad public backlash driven by inconsistent standards application for Twitter users, most notably banning select journalists, is pushing us to the sidelines on TSLA,” Rusch said in a note to clients. “The public backlash was driven by inconsistent standards application for Twitter users, most notably banning select journalists.” “We believe that the growing negative sentiment on Twitter could persist over the long term, which would limit the company’s financial performance and become an ongoing overhang on TSLA.” Following the results of a poll conducted on Twitter, the majority of users voted for Elon Musk to step down as CEO, which caused the company’s stock to increase in premarket trading. Even though Musk stated that he would respect the preferences of those who participated in the poll, it is not yet clear whether he will keep his promise to step down based on the results of the poll.
Tesla Stock Forecast & Price:
Over the course of the next year, the average price target that Tesla Inc. analysts have set for the company’s stock is 299 USD. These forecasts come from 32 different analysts. Buy is the recommendation made by analysts on average for Tesla Inc. Based on 9 positive signals and 6 negative signals, Stock Target Advisor’s own stock analysis of Tesla Inc. is Slightly Bullish. This conclusion was reached after analysing the company’s stock. The stock price of Tesla Inc. was USD 150.23 as of the most recent market close. The price of a share of Tesla Inc. has decreased by -16.10% over the course of the past week, -16.63% over the course of the past month, and -51.67% over the course of the last year.
The Crowd Rating on the stock is a Strong Buy, with a 12 month Crowd Target forecast of $334 per share.