6/20, 1:25 PM (Source: TeleTrader)
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Chart for: Tesla, Inc.

Goldman Sachs sees Tesla stocks falling further

Goldman Sachs announced on Thursday that it cut Tesla's target price from $200 to $158, which represents a 30% drop from Wednesday's close CNBC reported. Demand worries represent the main cause for the drop in value.

Goldman Sachs analyst David Tamberrino stated: "We believe that is the largest question for investors to underwrite at this point — what are sustainable demand levels for the Model S, Model X, and Model 3 — and how does that change with the introduction of Model Y production. We believe a downward path for shares will resume as it becomes more clear that sustainable demand for the company’s current products are below expectations."

Tesla closed 0.75% higher on Wednesday at $226.43 per share. The electric carmaker is up 10.26% over the past month, but the company's stocks dropped 31.96% since the beginning of the year.

The company's stocks fell 0.6% in premarket trade on Wall Street on Thursday.

Breaking the News / VP