Wedbush Securities Removed Tesla (TeslaLong-term Tesla bull Dan Ives laid out stocks on his “Best Ideas” list for 2024 on Friday, outlining Tesla and CEO Elon Musk’s A series of issues that Elon Musk must solve to get Tesla back on its feet.
Tesla shares suffered their worst percentage drop in more than a year on Thursday after the company reported worse-than-expected results Fourth quarter earnings and revenue and opaque 2024 guidance. On Friday, Wedbush analyst Ives wrote that Tesla won’t be included on the company’s list of best ideas until there’s evidence that Musk and company act on their suggestions.
Ives listed 10 items for “Musk to turn Tesla around,” including Tesla announcing a $10 billion stock buyback plan, creating a holding structure for artificial intelligence projects, and giving Musk More control, stop cutting vehicle prices to maintain parity with other automakers, ensure Musk doesn’t sell more TSLA stock to fund “Production and delivery schedule.
Ives, who has been one of Tesla’s most optimistic supporters, called fourth-quarter profits a “train wreck” on Thursday. The analyst also lowered his price target on Tesla to 315 points from 350 points.
“We expect Musk and team to step up as adults in the room on the call and provide a strategic and financial overview of ongoing price cuts, margin structure and volatile demand, which is completely Incorrect.”
Tesla shares rose 0.3% to 183.22 on Friday market actionTesla shares plunged 12.1% to $182.63 on Thursday, hitting their lowest level since May. Tesla’s stock price fell more than 13% this week and fell 26% in January.
Tesla Earnings: Stock Performance
So far, Tesla’s stock price has plummeted more than 26% in January. Last week, Tesla shares fell 3%, their fifth consecutive weekly loss. Over the past two weeks, Tesla stock has fallen below the 50-day and 200-day lines.
JPMorgan analyst Ryan Brinkman wrote on Friday that Tesla stock “has significant further downside potential.” Brinkman lowered the company’s price target on Tesla to 130 points from 135 points.
Meanwhile, Edward Jones also removed Tesla stock from its “Stock Focus List” on Friday, and analyst Jeff Windau downgraded Tesla stock to hold from buy.
Tesla shares have doubled in 2023, handily outperforming the broader S&P 500 despite falling profits. However, shares have been falling since late July.
Tesla stock ranks fifth among 35-member IBD Automobile manufacturers industry cluster.The stock has 31 Overall rating Best 99 points.Tesla stock also has 24 points relative strength rating and 69 EPS Rating.
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