Tesla Stock Could Drop 35% As Fundamentals Don’t Support Latest Rally: UBS
- Tesla shares could see a correction as the firm’s valuation isn’t supported by its business, UBS said.
- UBS says the stock could fall 35%, which would wipe out most of the postelection rally.
- Tesla needs to grow to deliver 15 million cars in 2030, well beyond what’s been forecast, UBS said.
Tesla shares could be poised for a double-digit correction, as the car company’s fundamentals don’t support the surge in its stock price since the election, UBS analysts said.
In a note on Monday, the bank maintained its “sell” rating on Tesla stock and issued a price target of $226 a share. Though that’s slightly higher from the bank’s previous price target of $197 a share, it implies 35% downside for Elon Musk’s…
