Tesla shares closed down about 5% on Thursday at $209.98 after HSBC Global initiated coverage with a “reduce” rating and a $146 price target. In their note, HSBC analysts called Elon Musk both an asset and a risk to Tesla, noting he is a “charismatic CEO with a cult-like following” who “feeds into the innovator narrative.”
The analysts also pointed to “hope” already baked into Tesla’s share price around the company’s many ambitious future tech projects, from its long-delayed driverless systems to humanoid robots and supercomputers. “Arguably the ideas need to become reality to support the current share price,” the analysts said.
On the bearish side, HSBC analysts wrote, “Significant delays or developments that show lack of technological and/or regulatory feasibility for a commercial launch of these projects pose a significant risk for Tesla.”
On the more bullish side, HSBC analysts said Tesla’s core automotive business “faces fewer challenges than the incumbents and as such, deserves a premium.” They said, “EVs, by virtue of rising penetration, are a growth market and are likely to be for decades. Tesla is already the cost leader and given its stated ambitions (and scale), is likely to remain so.”
Also on the bullish side for Tesla, they said, “A faster than expected development” in these areas “could lead to a re-rating of Tesla multiples,” as could “higher than expected market share gains driven by the price cuts we expect” in Tesla’s core electric vehicle business.
Besides the “reduce” rating from HSBC, Tesla is also facing a widening strike in Sweden.
Swedish unions are pressuring Tesla with strikes and blockades over the company’s refusal so far to sign a collective bargaining agreement with employees in its service division, including technicians and mechanics who repair and maintain customers’ cars.
The IF Metall trade union, which represents some Tesla service employees, began a strike action at 12 Tesla service centers on Oct. 27, The New York Times reported. Dockworkers who are members of the Swedish Transport Workers Union have said they will not unload Teslas at ports in the region if the EV maker fails to negotiate a labor agreement by Nov. 17. Electrical workers who maintain the company’s charging stations, among other things, have also promised to strike starting Nov. 17 if no agreement is reached.
The labor action could potentially spread to Norway, according to reports by The New Republic.
Meanwhile, on Thursday, President Joe Biden spoke to UAW workers in Illinois, where he voiced support for the union leader’s ambition to strike collective agreements with Tesla, Toyota and others.
UAW President Shawn Fain said in October during an online broadcast, “When we return to the bargaining table in 2028, it won’t just be with the ‘Big Three,’ but with the big five or big six.”
Tesla is expected to host a Cybertruck event at the end of this month. While the specs and pricing for the final version of the Cybertruck have yet to be revealed, Tesla has allowed some Cybertrucks to be trotted around to promotional events. Auto critics including hobbyists and professionals have panned their build quality and design this week, The Autopian reported.
Thanks for the unique tips contributed on this web site. I have realized that many insurance companies offer clients generous reductions if they prefer to insure multiple cars with them. A significant amount of households own several motor vehicles these days, specially those with mature teenage children still living at home, and also the savings upon policies can certainly soon increase. So it will pay to look for a great deal.
Thanks for your tips on this blog. A single thing I wish to say is that purchasing consumer electronics items on the Internet is certainly not new. In reality, in the past several years alone, the market for online gadgets has grown substantially. Today, you will discover practically any specific electronic unit and tools on the Internet, ranging from cameras in addition to camcorders to computer components and video games consoles.
Best top quality USA proxies – DreamProxies.com buy with 50 discount!
Elite Private proxy browse DreamProxies.com – the actual best private proxies you can get for most competitive pricing!
Hi there! I could have sworn I’ve been to this site before but after reading through some of the post I realized it’s new to me. Anyways, I’m definitely delighted I found it and I’ll be bookmarking and checking back frequently!
Thanks for your concepts. One thing I’ve noticed is that often banks and financial institutions know the spending habits of consumers and also understand that most of the people max out there their own credit cards around the breaks. They sensibly take advantage of this particular fact and begin flooding the inbox along with snail-mail box having hundreds of no-interest APR credit card offers right after the holiday season ends. Knowing that if you’re like 98 of all American open public, you’ll soar at the possible opportunity to consolidate personal credit card debt and transfer balances to 0 APR credit cards.
This is the right website for everyone who would like to understand this topic. You understand so much its almost tough to argue with you (not that I personally will need to…HaHa). You definitely put a new spin on a subject which has been discussed for decades. Wonderful stuff, just excellent!
I enjoy reading through a post that can make men and women think. Also, thank you for allowing for me to comment!
Hello! Someone in my Facebook group shared this site with us so I came to look it over. I’m definitely enjoying the information. I’m book-marking and will be tweeting this to my followers! Great blog and great design and style.