Is Tesla Stock a Sell? An Analyst Predicts 85% Downside
Is Tesla Stock a Sell?
When everyone else is selling Tesla stock, should you buy it instead? 2024 has not been kind to Tesla (NASDAQ: TSLA) stock. Since the year began, a combination of weak demand for electric cars generally, combined with price cuts by Tesla in particular (designed to fix the weak demand problem), have cost Tesla more than one-third of its market capitalization.
Analyst Predicts 85% Downside
- On Tuesday, Tesla analyst Gordon Johnson of GLJ Research set a new, lower price target of just $22.86 on Tesla stock -- currently the lowest price target on Wall Street.
- Johnson forecasts an 85% downside over the next 12 months.
Make no mistake: Tesla's in for a rough year. Most analysts agree that last year's $15 billion in net profit will dwindle to less than $9 billion in 2024. But most analysts also forecast Tesla's profits to triple (to $25.8 billion) by 2028 as Tesla finds new directions to grow.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.