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Wall Street is bracing for a grim first-quarter delivery report from Tesla
- Wall Street anticipates a challenging first-quarter delivery report from Tesla following weak sales and brand damage linked to Elon Musk's politics.
- Sales data decline and political debates have led analysts to lower sales expectations and slash price targets for Tesla, causing nervousness among investors.
- Protests against Tesla and Musk, coupled with weak demand and competition, have further impacted the company's sales projections.
- Analysts predict Tesla's first-quarter deliveries to fall below consensus estimates, with declines expected in Europe and China.
- RBC Capital Markets expects Tesla to deliver 364,000 vehicles in Q1, down from the average estimate of 398,000, with significant drops in Europe and China.
- Deutsche Bank foresees a 'major reset' for Tesla's 2025 and 2026 expectations, projecting a 5% delivery drop for the year and attributing Tesla's recent stock decline to weaker volumes and political uncertainties.
- HSBC also reduced its price target for Tesla, citing the brand damage from Musk's politics and lowered expectations for the stock.
- Analysts at William Blair noted issues such as brand damage, weak demand, and Chinese competition impacting Tesla's delivery estimates, cutting projections for the quarter and the year.
- Wedbush Securities' Dan Ives anticipates Tesla's delivery announcement to be a pivotal moment for the stock, with potential low delivery figures expected, urging for better days ahead after the challenging period.
- Despite the forecasted difficulties, some analysts believe Tesla will navigate through the crisis, with the rest of the year holding potential for a stronger delivery trajectory.
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