Tesla stock drops as new Morgan Stanley analyst downgrades shares, citing valuation

Morgan Stanley’s newest Tesla (TSLA) analyst downgraded the bank’s rating on the stock, a reversal from a prior bullish position. Andrew Percoco downgraded Tesla to Equal-weight from Overweight upon resuming coverage of Tesla after prior analyst Adam Jonas shifted to a different role at Morgan Stanley. Interestingly, Percoco upped the firm’s Tesla price target to $425 from $410 in the process. Percoco wrote that “high expectations” of Tesla’s AI ambitions led to a premium valuation, one that is fairly pr ...