Tesla bulls and bears are duking it out and one strategist now thinks Elon Musk’s car company is “boring”

Tesla bulls and bears are duking it out and one strategist now thinks Elon Musk’s car company is “boring”

Elon Musk.
Charles Sykes/Observation/AP, File

1. Tesla shares fell nearly 7% on Thursday Expectations plummeted at the company’s much-anticipated investor day after Elon Musk’s “master plan” was revealed over the course of four hours on Wednesday.

Onlookers were expecting more insight into new types of vehicles, including rumored sub-$30,000 models and robotaxis, but Musk was largely quiet on the matter.

In his “Master Plan 3” presentationMusk, along with several engineers, teased two new models, but details were otherwise scant (though he did make several colorful comments).

However, the presentation laid out broad plans aimed at making Tesla the world’s largest car company.

By 2030, Tesla wants to sell 20 million cars per year.

The announcements were pretty bland for strategists at Wanda Research A note to customers reads that this month could see a sell-off for Tesla stock.

Over the past two months, retail investors have piled into the EV-maker’s shares, according to Wanda, but a weak investor day could trigger a reversal.

“If we consider that more retail purchases Driven by momentum rather than a strong belief, Wanda said, a lack of new ‘rumours’ to buy could lead to stagnation in performance, sentiment, investment flows and ultimately a significant reversal in stock price.

That said, Zacks Investment Research projects 30% upside for Tesla, and that climb could happen in 2023.

The firm gives Musk’s company a price target of $260 over the next six to 12 months, which John Blank, chief equity strategist at Zacks, says is “deserved.”

In a CNBC interview, Blank said, “I think the thing we should be hearing about the Cybertruck is that it’s going to have a new factory template that we haven’t seen yet, and it’s going to take a long time.” It seems.”

While Tesla has long been described as innovative And last decade the futurist, Bespoke Investment Group concluded that the company is now really just a generic, boring carmaker.

Here’s how he put it:

“With investor and analyst coverage focused on more concrete metrics and timeframes, expectations are being driven for TSLA to behave more like a trad. [original equipment manufacturer] And less of a disruptor.”

Are you more bullish or bearish on Tesla this year? why or why not? Tweet me (@philrosenn) or email me (prosen@insider.com) To tell me.

In other news:

Federal Reserve Chairman Jerome Powell

Federal Reserve Board Chairman Jerome Powell speaks during a news conference following a meeting of the Federal Open Market Committee on February 01, 2023 in Washington, DC. The Federal Reserve announced a 0.25 percentage point increase in interest rates to a range of 4.50% to 4.75%.
Kevin Diesch/Getty Images

2. US stock futures hit an early high on Friday, as investors see glimmers of hope for more-moderate rate hikes in comments from Fed official Biostik. Meanwhile, the 10-year Treasury held above 4%. Here are the latest moves in the market.

3. Earnings on Deck: Lufthansa, Pearson, and others, all reporting.

4. Meet a 30 year old contrarian stock trader. He said that he made most of his profits by going against the crowd, because most people lose money in trading. These are the three hard truths he lives by that help him remain profitable regardless of market conditions.

5. The stock market is getting jittery as the red flashes again in a major bearish signal. The 10-year Treasury bond yield has risen to a high last seen in November, marking a shift in investor expectations for interest rates. This is why the bulls are getting scared right now.

6. The Treasury has given its strongest signal yet that the US will get a digital dollar. But industry experts told Insider that there are still risks in the proliferation of a central bank digital currency — and we have to be careful not to get caught up in the race with China.

7. Despite an aggressive Fed, equities have proved remarkably resilient so far this year. JPMorgan analysts said trillions of dollars in excess cash and a strong credit market have so far helped contain potential downside losses. The Wall Street veteran breaks down why markets haven’t yet been crushed by aggressive policy.

8. These two college friends created energy gum and mints that caught the attention of Shark Tank investors. He turned down offers from Kevin O’Leary and Robert Herjavec — but has since built an eight-figure business while working different day jobs.

9. The father-son team behind the top-1% mutual fund shared their strategy with Insider. They are focusing on small companies with high profits that appear to be built for a high inflation environment. Here are the five stocks on which he is most bullish.

salesforce stock price
market insider

10. According to Bank of America, Salesforce’s stock has gained 26%. Shares jumped 11% on Thursday on earnings and BofA raised its price target for Marc Benioff’s tech firm from $200 to $235: “Margin outlook reflects major step toward disciplined growth.”

Curated by Phil Rosen in New York. Feedback or Suggestions? do @philrosenn or email prosen@insider.com,

Edited by Max Adams (@maxradams) in New York and Nathan Reynolds (@ncrenolds) in London.

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