• Investing
  • Stock
Round Table Thoughts
  • Economy
  • Editor’s Pick
Home Investing Tesla stock has rebounded from a key support: should you buy?
Investing

Tesla stock has rebounded from a key support: should you buy?

by November 29, 2022
by November 29, 2022 0 comment
Share
0
FacebookTwitterPinterestWhatsapp

Tesla Inc (NASDAQ: TSLA) is rebounding after testing a key support last week around $170. But a senior Bernstein analyst says this stock is not out of the woods just yet.

Tesla stock could stoop at $150 a share

Toni Sacconaghi is sticking to his underperform rating on the leading U.S. electric vehicles manufacturer. His price objective of $150 translates to a near 20% downside from here.

The analyst agrees that valuation is enticing but remains dovish on Tesla Inc primarily on concerns of a slowdown in demand. His note reads:

We believe that Tesla’s decline is primarily attributable to investor concern about softness in demand, particularly in China, amid collapsing order lead times for cars.

Consequently, Tesla stock is down more than 50% for the year.

The said weakness was evident in its latest reported quarter when Tesla came in shy of Street expectations for revenue.

Why else is Sacconaghi dovish on Tesla

Sacconaghi also sees the $44 billion acquisition of Twitter as another headwind (read more). That’s in line with a recent Morgan Stanley survey in which nearly 75% of the respondents attributed the recent underperformance in Tesla stock to a distracted Elon Musk.  

Added competition and a looming recession could further weigh on demand, the analyst added.

Chinese EV market has grown explosively at 126% YTD through September. But Tesla’s EV growth in China has been 55%. The worry is that Tesla’s current models may be reaching saturation.

According to Sacconaghi, the EV company will either have to lower prices and take a hit on margins or depress its growth trajectory – neither of which paints a rosy picture for the Tesla stock.

The post Tesla stock has rebounded from a key support: should you buy? appeared first on Invezz.

You Might Also Like
  • 25+ incredible oil industry statistics & facts from 2022
  • Boeing lands the largest order for wide-body aircraft in U.S. history
  • Options Strategies for Small Accounts
  • Generac stock has upside to $160: Analyst
Share
0
FacebookTwitterPinterestWhatsapp

previous post
Is it time to sell energy stocks as oil returned to under $80 a barrel?
next post
US home price data continues to ease; Miami sees the biggest annual rise of 24.6%

You may also like

Apple stock price forecast: Morgan Stanley sees a whopping 75%...

December 16, 2022

Call And Put Backspreads Options Strategies

October 14, 2023

Fed minutes indicate smaller rate hikes ahead: time to buy?

November 24, 2022

OKX Chain launches Liquid Staking with up to 40% APR

December 20, 2022

Will Constellation Brands’ sell off continue as CEO insists it...

January 6, 2023

United Airlines stock has a 50% upside from here: Morgan...

December 5, 2022

Options Time Decay Explained: Understanding Theta

April 5, 2023

Blackstone’s beset property fund secures a massive investment

January 3, 2023

ConsenSys reveals it collects IP addresses of MetaMask users

November 24, 2022

Ford is now the second best-selling EV maker in the...

December 2, 2022

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • How to Find Compelling Charts in Every Sector

      July 10, 2025
    • White House accuses Powell of mismanaging Federal Reserve, citing headquarters renovation

      July 10, 2025
    • Italian chocolate giant Ferrero to buy Kellogg’s Froot Loops maker

      July 10, 2025
    • OpenAI to release web browser in challenge to Google Chrome

      July 10, 2025
    • Sports executive charged with bid-rigging in Texas arena project

      July 10, 2025

    Popular Posts

    • 1

      Biden appointee played key role in recruiting Chinese...

      June 25, 2024 3,631 views
    • 2

      Trump-era China sanctions ended by Biden may be...

      June 27, 2024 2,919 views
    • 3

      Walz’s honeymoon with China gets fresh scrutiny as...

      August 9, 2024 2,607 views
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful...

      July 10, 2024 2,577 views
    • 5

      Harris VP pick spent years promoting research facility...

      August 29, 2024 2,451 views

    Categories

    • Economy (7,009)
    • Editor's Pick (2,171)
    • Investing (538)
    • Stock (2,662)

    Popular Posts

    • 1

      Biden appointee played key role in recruiting Chinese businesses to Delaware: ‘Longtime friends’

      June 25, 2024
    • 2

      Trump-era China sanctions ended by Biden may be revived under new House GOP bill

      June 27, 2024
    • 3

      Walz’s honeymoon with China gets fresh scrutiny as Harris camp blasts ‘lying’ critics

      August 9, 2024
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese spy threats

      July 10, 2024
    • 5

      Harris VP pick spent years promoting research facility that collaborated with ‘Chinese military company’

      August 29, 2024

    Latest News

    • How to Find Compelling Charts in Every Sector

      July 10, 2025
    • White House accuses Powell of mismanaging Federal Reserve, citing headquarters...

      July 10, 2025
    • Italian chocolate giant Ferrero to buy Kellogg’s Froot Loops maker

      July 10, 2025

    Categories

    • Economy (7,009)
    • Editor's Pick (2,171)
    • Investing (538)
    • Stock (2,662)

    Disclaimer: RoundTableThoughts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 RoundTableThoughts.com. All Rights Reserved.

    Round Table Thoughts
    • Investing
    • Stock
    Round Table Thoughts
    • Economy
    • Editor’s Pick

    Read alsox

    Asos share price is down by...

    November 25, 2022

    Is Vodafone Idea stock a good...

    January 12, 2023

    Option Trading and Slippage: The Bid-Ask...

    April 4, 2023
    Sign In

    Keep me signed in until I sign out

    Forgot your password?

    Password Recovery

    A new password will be emailed to you.

    Have received a new password? Login here