“2024 Is A Year That Has Already Been Lost For Growth”, Said Jefferies Analyst, Phillipe Houchois.
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Phillipe Houchois, a Jefferies analyst, recently lowered Tesla’s stock price to US$ 210, stating that the electric vehicle manufacturer led by Elon Musk may face compromised profit and reduced free cash flow. This has generated significant interest among people, with many negative comments about the post made by Sawyer Merrit. Despite the exaggerated opinions, some points raised by the financial analyst make sense.
Phillipe Houchois believes Tesla is facing the next 12 to 18 months marked by the company’s sluggishness while still being unable to take advantage of rival manufacturers’ failures. Additionally, the company should seek to capitalize on other models and focus on Model Y production across different market segments. Musk, during last year’s third-quarter earnings call, said he wanted expectations for the Cybertruck to be tempered, as given the great quality of the product, it may take one to 18 months for it to become a significant and positive contributor to cash flow.
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The Cybertruck, four years after its reveal, is finally becoming a reality. Recent news revealed that Tesla will be delivering only 10 Cybertrucks at the end of the month, and all will be designated solely for employees.
Even with a slow initial launch, Tesla’s Model 3 has not been negatively impacted, quite the contrary. It is the second best-selling car for the company, trailing only the Model Y.
Tesla’s Stock Performance May Be Compromised In The Short Term Due To The Tesla Cybertruck, Which Is One Of The Most Talked About Cars Currently.
Phillipe Houchois, a Jefferies analyst, recently lowered Tesla’s stock price to US$ 210, stating that the electric vehicle manufacturer led by Elon Musk may have its profit compromised and free cash flow reduced. This has generated significant interest among people, with many negative comments about the post made by Sawyer Merrit. Despite the exaggerated opinions, some points raised by the financial analyst make sense.
Phillipe Houchois opines that Tesla is facing the next 12 to 18 months marked by the company’s sluggishness while still being unable to take advantage of rival manufacturers’ failures. Additionally, the company should seek to capitalize on other models and focus on Model Y production across different market segments. Musk, during last year’s third-quarter earnings call, stated he wanted expectations for the Cybertruck to be moderated, as given the great quality of the product, it may take one to 18 months for it to become a significant and positive contributor to cash flow.
The Cybertruck, four years after its reveal, is finally becoming a reality. Recent news revealed that Tesla will be delivering only 10 Cybertrucks at the end of the month, and all will be designated solely for employees.
Even with a slow initial launch, Tesla’s Model 3 has not been negatively impacted, quite the contrary. It is the second best-selling car for the company, trailing only the Model Y.
Source: Insideevs UOL
