Tesla Stock Extends Losses After Weak Delivery Data
Tesla Inc. shares fell 2.5% on Monday, extending their decline after a sharp 5.4% drop on Friday. The continued selloff comes as weaker-than-expected first-quarter delivery figures weigh on investor sentiment and raise concerns about near-term performance.
Delivery Miss Raises Growth Concerns
Tesla reported first-quarter deliveries of 358,023 vehicles, missing analyst expectations of 372,160 units. The shortfall has added pressure on the stock, signaling potential demand challenges and slowing momentum in the electric vehicle market.
Energy Storage Business Underperforms
Tesla’s energy storage segment also disappointed. Installations reached 8.8 GWh, marking a 15% year-over-year decline and the first drop since the second quarter of 2022.
The figure came in significantly below expectations, missing company-compiled consensus estimates of 14.4 GWh by 39%, further contributing to the negative market reaction.
JPMorgan Maintains Bearish Outlook on Tesla
Ryan Brinkman of JPMorgan reiterated an Underweight rating on Tesla, maintaining a $145 price target.
The analyst lowered his first-quarter earnings per share (EPS) forecast from $0.43 to $0.30, below the consensus estimate of $0.38. He also reduced his long-term projections:
- 2026 EPS forecast cut from $2.00 to $1.80 (vs. $1.95 consensus)
- 2027 EPS estimate lowered from $2.45 to $2.25 (vs. $2.65 consensus)
Warning of Significant Downside Risk
Brinkman warned that Tesla stock could face substantial downside, estimating a potential 60% decline relative to his $145 price target for December 2026. He advised investors to approach the stock with caution given the current outlook.
Deliveries Fall Below Forecasts
The analyst also noted that Tesla’s first-quarter deliveries were 7% below his own estimate of 385,000 vehicles. Additionally, current delivery levels are 74% lower than the peak consensus expectation of 1.366 million vehicles recorded on June 9, 2022.
