Tesla Falls as Cowen Sees Deliveries Hurt by ‘Demand Saturation’

Tesla Inc. tumbled 4.9% Monday, its biggest drop in a month, after analysts at Cowen said vehicle deliveries may miss the company’s target this year as Model 3 demand slumps.

“Excluding the Netherlands and China, we expect Model 3 deliveries to be down” compared to the prior quarter and year-ago period, analyst Jeffrey Osborne wrote in a note dated Dec. 29. His estimate “highlights the demand saturation we are seeing across most mature markets as we shift from pent-up demand to steady flow demand.” Tesla may deliver some 356,000 vehicles for this year, slightly below the company’s October target range of 360,000 to 400,000, he said.