Tesla Dealt Another Blow When Barclays Calls It a ‘Niche Carmaker’
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The blows keep coming for Tesla Inc., even as the shares have shed about a fifth of their value in the past month. The latest knock comes from Barclays analyst Brian Johnson, who said the company may be relegated to the status of a niche luxury carmaker.
The analyst dropped his price target on the stock on Thursday to $150 from $192, writing that demand for Tesla’s Model 3 has stagnated in the U.S. The company lacks a path to significant profitability from its auto business and its solar storage installations have declined sequentially over the past two quarters, Johnson said. And Chief Executive Elon Musk’s attempt to pivot to a “full robotaxi scenario” also failed to spring excitement around Tesla’s self-driving capabilities.