- Reuters/Bobby Yip; Business Insider/Dave Smith
- Tesla‘s sell-off was on track to continue for a seventh straight day on Thursday.
- Shares were down 5% ahead of the opening bell, and set to open at a 2 1/2-year low.
- Watch Tesla trade live.
Tesla‘s sell-off intensified early Thursday, with shares poised to open at a 2 1/2-year low.
The rapid decline that’s mounted over the past week comes as a slew of major Wall Street firms have lowered their earnings expectations, price targets, and so-called “bear case” targets for the stock.
Ahead of the opening bell, shares hit a low of $182.19, its weakest since December 2, 2016. A drop on Thursday would mark a seventh-straight day of losses.
Tesla analysts’ urgent commentary in recent sessions, paired with its former largest institutional shareholder dumping most of its stake, reflects a particularly troubling time for the electric-car maker that’s long divided the investment community.
Even Baird analyst Ben Kallo, who is one of the most bullish Tesla watchers on Wall Street,, lowered his earnings expectations for the automaker earlier this week and cut his price target for the second time in as many months. He still maintains his “outperform” rating.
“Demand concerns, credibility questions, and messaging/communication (including a recent email announcing ‘hard core’ cost cuts) have weighed on TSLA shares in recent weeks, and we think it could take several weeks/ months for the narrative to shift,” he told clients Tuesday, adding the company’s shareholder meeting in June could prove to be a catalyst for shares.
This story is developing. Please check back for updates.
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