Goldman Sachs sees a heck of an electrified movement tesla stock (TSLA) for the next 12 months.
Analyst Mark Delaney, who maintains a $200 price target and buy rating for Tesla shares, reiterated his claims in a memo following Tesla’s earnings on Wednesday. The stock price target assumes an increase of approximately 25% from the current level of the stock price.
“Given investors’ particular focus on Tesla’s delivery volumes (and the importance of vertically integrated model volume and the long-term cost benefits of new factories at scale),” Delaney wrote. I’m here. The most important takeaway from the call. ”
Tesla’s bullish memo comes after company reports Mixed fourth quarter and full year outlook.
Tesla’s fourth-quarter gross margin was 23.8%, below the estimated 25.4%. Automotive gross margin was 25.9%, compared to analyst estimates of 28.4%.
During an earnings call with investors, Tesla CEO Elon Musk did his best to sound enthusiastic about Tesla’s business.
He also Addressing Demand Concerns, said: But he also warned of a “deep” recession this year.
The economic warning appears to have been factored into Tesla’s 2023 sales volume growth guidance of 38%, well below its long-term target of 50%.
Musk has also announced that Cybertruck production will be delayed until the summer, with “mass production” beginning in 2024.
Despite the uncertainty Tesla stock soars nearly 11% Investors supported Musk’s comments on near-term demand trends.
“We continue to believe the company is well positioned for long-term growth given its leadership, both from a cost structure and clean mobility complete solutions provider perspective,” Delaney said. There is,’ he said.
But the more edgy side of this earnings call has led others on Wall Street to take a more cautious view on stocks.
For example, Guggenheim analyst Ronald Jusikou maintained his sell rating on Tesla shares.
“FY23/24 EPS and gross margin could be revised significantly negative, and I’m a little surprised to see the stock price rise in the aftermarket,” Jusikou wrote in a customer note. ing. “We continue to believe that a return in price at 3/Y will be difficult and protracted, and as a result investors will need to recalibrate their valuation of the reset growth algorithm over the next few years.”
Brian Sotzi general editor, Yahoo Finance anchorFollow Sozzi on Twitter @BrianSozzi and LinkedIn.
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