Investor sentiment on Tesla Inc. appears to have “overshot to the negative,” said analyst Ben Kallo at Baird, who said he believes there are several upcoming catalysts that could drive the electric vehicle maker’s stock higher. Kallo reiterated the outperform rating he’s had on Tesla for at least three years, but boosted his price target to $355 from $340. The stock, which fell 0.9% in premarket trading Friday, has tumbled 20% over the past three months through Thursday, while the Dow Jones Industrial Average has gained 3.1%. He expects the first positive catalyst to be second-quarter deliveries data, which are due out on or before July 3, as he believes the stock will react positively given low expectations. Other upcoming catalysts include a potential cash flow positive quarter, the battery and powertrain analyst gathering expected this summer, volume production from the Shanghai factory, pickup truck unveiling and announcements on strategies to expand manufacturing and battery production capacity. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
Latest posts by Market Watch (see all)
- Organigram stock plunges after issuing fourth-quarter revenue guidance - November 11, 2019
- Kemet stock rallies on Yageo’s $1.8 billion buyout offer - November 11, 2019
- Budweiser maker to buy Kona Brewing and more craft beers for a discount - November 11, 2019