Tesla, Inc. (NASDAQ:TSLA) is one of the AI Stocks Gaining Attention on Wall Street. On January 7, GLJ Research analyst Gordon Johnson raised the price target on the stock to $25.28 (from $19.05) while maintaining a “Sell” rating. The firm has cited concerns about Tesla’s core automotive business, describing it as “fledgling.”
The automotive business, as per the firm’s estimates, represents 72.2% of sales. These numbers have been deemed “fledgling” even though they it projects a decent 12.1% year-over-year growth in the Energy Generation & Storage segment at 31.2% margins.
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GLJ noted that Tesla experienced it’s first-ever year-over-year global delivery decline in 2024, falling 1.1%. It anticipates steeper declines of 7.7% in 2025 and 15.0% in 2026, driven by U.S. EV tax credit benefits fully rolling off, intensifying Chinese competition, and sustained brand erosion in Europe.
When viewing Tesla’s deliveries through actual deliveries and rising discounts, the firm noted how its sum-of-the-parts analysis show Tesla’s earnings outlook deteriorates quickly.
Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives.
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