Tesla bull Dan Ives has drastically cut his price target for Tesla, calling it a 'political symbol'

Core Viewpoint - Wall Street analyst Dan Ives has downgraded Tesla's stock price target from $550 to$315, a 43% reduction, citing political issues and brand crises as significant factors affecting the company's future [1] Group 1: Price Target and Brand Issues - Wedbush Securities has reduced its 12-month price target for Tesla stock by 43% due to the company's political symbolism and self-created brand issues [1] - The firm estimates that Tesla has lost approximately 10% of its future global customer base due to these brand issues [1] Group 2: Impact of Tariffs - President Trump's tariffs, totaling a 54% on Chinese goods, are expected to impact Tesla's trade relationship with China, despite the company's significant manufacturing presence in the U.S. [2] - Tesla relies on car parts from China, including batteries, which could be affected by these tariffs [2] Group 3: Sales and Market Competition - The political backlash against Trump and Musk in China is likely to lead to decreased sales for Tesla in the crucial electric vehicle market, with consumers potentially favoring domestic brands like BYD, Nio, and Xpeng [3] - Tesla's delivery numbers for Q1 2025 showed a 13% year-over-year decrease, totaling nearly 336,700 vehicles [4] Group 4: Investor Sentiment - Early Tesla investor Ross Gerber expressed concerns over the decline in the high-end EV market, stating that the brand is "broken and may not be fixable" [5] - Tesla's stock price has dropped nearly 37% since the beginning of the year and over 50% from its record high on December 17, 2024 [5]