As Tesla (NASDAQ:TSLA) gears up to unveil its second-quarter delivery figures, one Wall Street analyst remains optimistic about the electric vehicle manufacturer’s prospects for the remainder of the year, despite the company’s recent challenges and market volatility.
Tesla (NASDAQ:TSLA) shares have experienced a notable decline this year, shedding over $230 billion in value. However, the anticipation surrounding the ramp-up of Cybertruck production and the impending launch of its long-awaited robotaxi later this summer has fueled optimism among investors.
While Tesla had previously set ambitious targets for annual vehicle deliveries, the company has shifted its focus towards autonomous driving technologies, reflecting its evolving strategic priorities.
Amidst a global downturn in electric vehicle demand and intensified competition, Tesla faces headwinds in key markets such as China and Europe, where EV sales have declined in recent months.
Despite these challenges, Tesla’s CEO Elon Musk has hinted at the possibility of launching a new vehicle lineup later this year or in early 2025. However, the company’s continued reliance on existing production facilities may limit its ability to introduce lower-priced EV models, potentially impacting profit margins.
Canaccord Genuity analyst George Gianarikas remains bullish on Tesla’s long-term growth prospects, raising the stock’s price target to $267 per share. Gianarikas expects second-quarter deliveries to reach 429,000 units, slightly below previous estimates but still reflective of year-on-year growth.
Although Canaccord has adjusted its full-year delivery forecast to 1.86 million units, citing improved global delivery tracking and insights, Gianarikas maintains a positive outlook based on Musk’s optimistic outlook and the potential introduction of new models in late 2024.
Despite premarket trading indicating a slight decline in Tesla shares, Gianarikas’ revised price target underscores confidence in the company’s ability to navigate challenges and capitalize on growth opportunities in the electric vehicle market.
Featured Image: Megapixl
Author Faith Yakubu 
