Tesla gets another price target cut

Tesla (TSLA) shares are down more than 25% in 2024. Now, Wall Street analysts are cutting their price targets for the stock. The latest is Citi's Itay Michaeli, who lowered his target to $196 from $224 and reduced his first quarter delivery estimates.

Yahoo Finance's Ines Ferré recaps the latest Wall Street takes on the EV maker.

For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.

Editor's note: This article was written by Stephanie Mikulich.

Video transcript

- Wall Street's bearish tone on Tesla continuing this morning. City is the latest to cut its price target on the stock to 196 from 224, analysts at [INAUDIBLE] saying that there is just not much upside potential for the company moving forward. And this is just the latest in a slew of price cuts and downgrades for the company.

Yahoo Finance's Ines Ferre is here to help us put it all together. Ines, what have you got for us?

- Yeah, Madison. And we are taking a look right now at Tesla. I just want to show you a year-to-date chart. And this is part of the reason why analysts have become more bearish on the stock or lowering their price target on the stock.

Year to date, the stock is down 28%. Over the past year, you can see it's down from these June levels-- a steady decline here. Now, as you had mentioned, Citi analysts now lowering their price target on the stock.

You also had Bernstein analysts lowering their price target to 120 from 150 this week, maintaining an underperform rating on the stock. And then you had Mizuho analysts also lowering their price target on the stock from to 195 from 270 and downgrading the stock to neutral.

The analysts wrote that they're constructive on the long-term electrification trend, but near-term, EV demand and tightening liquidity are creating challenges into 2025.

Look, there are some analysts that have been lowering their expectations for delivery for the first quarter. And also, they've been lowering their earnings guidance for the full year 2024. In fact, the consensus estimate from analysts is that earnings this year will be 7% lower than last year.

This is one of those stocks-- the magnificent seven stocks-- one of the least favorite, I should say, of those magnificent seven, guys.

- All right. Ines Ferre. Thank you so much for joining us. We really appreciate it.