Barclays Cuts Tesla’s PT by 15%, Doubts Firm’s Ability to Meet Growth Targets
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Barclays Cuts Tesla’s PT by 15%, Doubts Firm’s Ability to Meet Growth Targets

Barclays has cut Tesla's price target due to concerns over fundamentals and CEO Elon Musk's political ties.
Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our website policy prior to making financial decisions.

Barclays analysts have recently lowered their price target for Tesla, Inc. (NASDAQ: TSLA) by 15%, setting it at $275, citing concerns over the company’s fundamentals and its ability to meet 2025 unit volume growth targets.

The decision comes amid growing scrutiny of CEO Elon Musk’s involvement with the Trump Administration, which some analysts fear could tarnish Tesla’s brand.

Despite these challenges, prominent investor Cathie Wood remains optimistic about the company’s prospects, emphasizing the strategic advantage of its U.S. supply chain in the face of tariffs. Analysts are divided on the impact of Musk’s political affiliations, with some urging focus on Tesla’s upcoming innovations.

Analysts Warn of Negative Impact of Musk’s Political Involvement, ARK Remains Optimistic

Barclays’ recent decision to reduce Tesla’s stock price target has sparked a debate among analysts and investors. The firm retained an equal weight rating for Tesla, but expressed concerns about the potential negative impact of Elon Musk’s political involvement on the company’s brand.

Wedbush Securities’ Dan Ives highlighted the risk of brand damage if Musk continues to engage with the Trump Administration. In contrast, Cathie Wood of ARK Invest remains optimistic, pointing to Tesla’s strategic advantages, such as its U.S.-based supply chain, as reasons for her continued confidence in the company’s future.

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TSLA Stock Brief

Tesla’s stock has experienced notable fluctuations recently. The stock opened at $230.27 and is currently trading at $224.9501, down from its previous close of $241.37. The day’s trading has seen a low of $223.67 and a high of $232.21.

Over the past 52 weeks, the stock has ranged from a low of $138.80 to a high of $488.54. Key financial metrics reveal a market cap of $723.48 billion and a trailing P/E ratio of 109.72.

Analysts have set a target high price of $515.00 and a target low price of $120.00, with a median target price of $307.00. Despite recent volatility, the recommendation consensus remains a hold.

Disclaimer: The author does not hold or have a position in any securities discussed in the article. All stock prices were quoted at the time of writing.

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