Tesla stock slapped with second Wall Street price cut in a week

Core Viewpoint - Tesla is facing increasing pressure on Wall Street due to concerns about its market dominance and declining sales, leading to multiple price target downgrades from major financial institutions [1][3][4]. Group 1: Stock Performance - Tesla's stock is currently trading at $270, reflecting a nearly 2% increase from the previous session, but it is down 27% year-to-date [1]. - Investors are closely monitoring for a potential price bottom, which will depend on broader market sentiment beyond Tesla's fundamentals [2]. Group 2: Price Target Revisions - Bank of America lowered its price target for Tesla from $490 to $380 while maintaining a 'Neutral' rating, citing declining vehicle sales and brand perception challenges [3]. - Goldman Sachs cut its price target from $345 to $320, highlighting weaker delivery trends that offset potential revenue gains from Full Self-Driving (FSD) software [4]. Group 3: Delivery Challenges - Tesla's delivery figures have been underwhelming in key regions such as China, Europe, and the U.S., with consumer survey data indicating broader demand challenges [5]. - In February, Tesla's shipments in China plummeted 49% year-over-year to 30,688 vehicles, marking the lowest since August 2022 [10]. Group 4: Competitive Landscape - Tesla faces significant competition from Chinese manufacturers like BYD, which saw a 164% increase in sales to 322,846 vehicles, and is gaining traction in the European market [11]. - Multiple competitors in China are offering hands-free Advanced Driver Assistance Systems (ADAS) without requiring additional software purchases, posing challenges for Tesla's FSD monetization in that market [7][8]. Group 5: Diverging Opinions - Despite the bearish sentiment, Morgan Stanley maintains an 'Overweight' rating on Tesla with a price target of $430, viewing the company as poised for growth in emerging technologies [9].