TSLA - Tesla's India Entry Hurdle Lifts Fisker Hurtling Toward Bankruptcy Rivian Gets Wall Street's Love And More: Biggest EV Stories Of The Week | Benzinga
Sentiment toward electric vehicle stocks was mixed in the week that ended on March 15, impacted by the worsening outlook for market leader Tesla, Inc. (NASDAQ:TSLA) and the broader market weakness caused by hotter-than-expected inflation data.
Here are the key events that happened in the EV space during the week:
Tesla Estimates Take Hit, India Cheer And More: As warned by Future Fund’s Gary Black, Wall Street analysts began lowering their deliveries estimates for Tesla, reasoning that the near-term outlook does not evoke confidence. Deutsche Bank set the ball rolling by lowering its March quarter deliveries estimate from 476,000 units to 427,000 units, citing slow production ramp-ups of the Model 3 refresh and the Cybertruck as well as slowing global EV adoption. The firm reduced the price target for the stock from $250 to $218, even as it maintained a “Buy” rating.
Wells Fargo’s Colin Langan downgraded the stock from “Hold” to “Sell” and cut the price target from $200 to $125, calling Tesla a “growth company” with no growth. UBS, meanwhile, reduced its price target from $225 to $165, attributing the tempered expectations to slower EV demand in Western countries, competitive pressure in China and a muted outlook for Model 2 volume in 2025.
On a positive note, Tesla could finally make headway in India as the government rolled out a new EV policy to attract investments into the country. The country is considering an import duty cut for EVs, provided that automakers make a commitment to invest at least $500 million and look to start domestic manufacturing within three years. Reuters reported that the new EV policy will allow eligible companies to annually import up to 8,000 EVs that cost $35,000 or more at ...