After hitting several new all-time highs over the last month, Tesla’s stock (TSLA) has now tumbled back below $350. It went down another 5% this morning after a new note from Goldman Sachs.
Analysts have been assimilating Tesla’s second quarter delivery numbers over the last few days and now Goldman Sachs is sharing its opinion, which seems to be having a strong impact on the market.
On Monday, Tesla confirmed having delivered just over 22,000 vehicles during the second quarter – reaching the lower-end of its delivery goal of 47,000 to 50,000 vehicles for the first half of the year.
In a new note to clients Wednesday, Goldman Sachs analyst David Tamberrino reiterated a sell rating on the stock at $180 and interpreted the delivery numbers as reaching peak demand for Tesla’s vehicles:
“We remain sell rated on shares of TSLA where we see potential for downside as the Model 3 launch curve undershoots the company’s production targets and as 2H17 margins likely disappoint. This comes as demand for TSLA’s established products (Model S and Model X) appear to be plateauing slightly below a 100k annual run rate.”
Tamberrino came to this conclusion after Tesla’s deliveries decreased quarter-to-quarter, but Tesla apparently disagrees with the conclusion.
The company says that deliveries grew 53% year-over-year and it sees a lot of untapped potentials for Model X to grow. In a press release, Tesla said that it expects deliveries to grow for Model S and Model X during the second half of the year – without accounting for the less predictable Model 3 impact.
As usual, we recommend taking analyst notes with a grain of salt. They are really influential on the stock market as proven by the price movements (Tamberrino’s last note also made TSLA tumble), but it doesn’t necessarily mean they are right.
Tamberrino is one of lowest rated analysts on Wall Street – ranked #4,407 out of 4,592 Analysts on TipRanks with a success rate of 41% and an average return of -23%. He only somewhat recently took over coverage from Patrick Archambault on several stocks, including Tesla’s. He was on his team before that though so it’s worth looking at both the team’s history of coverage under Archambault (left) and now him (right):