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Tesla's Stock Should Be Bought on Pullbacks for All These Reasons, Analyst Says
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The decline was just Tesla's second over the past 11 sessions, and just the third decline in December.</p><p>Since the election, the stock has rocketed 89.1%, as Tesla's market capitalization ballooned by $719.1 billion over that time to $1.53 trillion. And the value of Musk's stake in the company, which was 20.5% according to the latest disclosure, has swelled by $160.2 billion since the election to about $340 billion.</p><p>Baird's Kallo reiterated his outperform rating on the stock and raised his price target to $480 from $280. The new target is just 1% above current levels.</p><p>"The stock has gained significant momentum and has several upcoming potential catalysts," Kallo wrote in a note to clients. "We like the stock long term and would be buyers on pullbacks."</p><p>Below are Kallo's reasons to be bullish for 2025, but also some concerns:</p><p><strong>Bull arguments</strong></p><p>-- Introduction of new vehicles will help grow volume.</p><p>-- Factory utilization will increase.</p><p>-- Expected removal of an EV tax credit in the U.S. by the Trump administration is a negative on an absolute basis, but a positive for Tesla relative to competitors, who will be hurt more.</p><p>-- Production costs are falling for the Model 3, Model X and Model Y vehicles and for the Cybertruck.</p><p>-- Automotive regulatory credits provide a boost as other OEMs fall behind emissions standards.</p><p>-- Expansion into new markets.</p><p>-- Favorable legislation under a Trump administration, particularly on full self-driving and the rollout of Tesla's Cybercab robotaxi.</p><p>-- Continued investment in artificial intelligence through autonomy, Dojo compute and the Optimus robot.</p><p>-- Growth in Tesla's energy business.</p><p>-- First Optimus robots deployed in Tesla's factories.</p><p>-- FSD approval in China and the European Union.</p><p><strong>Bear arguments</strong></p><p>-- Valuation.</p><p>-- Sales will be "lumpy" as new vehicles are introduced.</p><p>-- Margins will face headwinds with lower-priced vehicles.</p><p>-- Robotaxi rollout delays or car accidents.</p><p>-- Geopolitical risk, such as a trade war with China, as Shanghai represents a major profit center for Tesla.</p><p>-- Emphasis on "key-man" risk related to Elon Musk spreading his time thin.</p><p>-- Pushout of timeline for long-dated initiatives, such as scaled robotaxi service and/or Optimus.</p><p>-- EV tax credit removal could be a bigger negative for demand than expected.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; 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overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nTesla's Stock Should Be Bought on Pullbacks for All These Reasons, Analyst Says\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2024-12-19 13:40</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>Stock posts second loss in 11 days as post-election fervor has raised some valuation risk heading into what should be a bullish 2025</p><p>Shares of Tesla Inc. fell Wednesday, a rarity this month, but that could actually help make them more attractive for investors.</p><p>Baird analyst Ben Kallo is still bullish on the electric-vehicle giant <a href=\"https://laohu8.com/S/TSLA\">$(TSLA)$</a>, and gave a number of reasons why 2025 should be a good year for the stock.</p><p>But the big spike since the election, which has put a "bright spotlight" on Chief Executive Elon Musk's ties to President-elect Donald Trump, has raised some concern over valuation.</p><p>So while Kallo said he remains a buyer of the stock, he recommends investors do so "particularly on pullbacks."</p><p>The stock sank 8.3% on Wednesday, after closing at record highs for the past three sessions. The decline was just Tesla's second over the past 11 sessions, and just the third decline in December.</p><p>Since the election, the stock has rocketed 89.1%, as Tesla's market capitalization ballooned by $719.1 billion over that time to $1.53 trillion. And the value of Musk's stake in the company, which was 20.5% according to the latest disclosure, has swelled by $160.2 billion since the election to about $340 billion.</p><p>Baird's Kallo reiterated his outperform rating on the stock and raised his price target to $480 from $280. The new target is just 1% above current levels.</p><p>"The stock has gained significant momentum and has several upcoming potential catalysts," Kallo wrote in a note to clients. "We like the stock long term and would be buyers on pullbacks."</p><p>Below are Kallo's reasons to be bullish for 2025, but also some concerns:</p><p><strong>Bull arguments</strong></p><p>-- Introduction of new vehicles will help grow volume.</p><p>-- Factory utilization will increase.</p><p>-- Expected removal of an EV tax credit in the U.S. by the Trump administration is a negative on an absolute basis, but a positive for Tesla relative to competitors, who will be hurt more.</p><p>-- Production costs are falling for the Model 3, Model X and Model Y vehicles and for the Cybertruck.</p><p>-- Automotive regulatory credits provide a boost as other OEMs fall behind emissions standards.</p><p>-- Expansion into new markets.</p><p>-- Favorable legislation under a Trump administration, particularly on full self-driving and the rollout of Tesla's Cybercab robotaxi.</p><p>-- Continued investment in artificial intelligence through autonomy, Dojo compute and the Optimus robot.</p><p>-- Growth in Tesla's energy business.</p><p>-- First Optimus robots deployed in Tesla's factories.</p><p>-- FSD approval in China and the European Union.</p><p><strong>Bear arguments</strong></p><p>-- Valuation.</p><p>-- Sales will be "lumpy" as new vehicles are introduced.</p><p>-- Margins will face headwinds with lower-priced vehicles.</p><p>-- Robotaxi rollout delays or car accidents.</p><p>-- Geopolitical risk, such as a trade war with China, as Shanghai represents a major profit center for Tesla.</p><p>-- Emphasis on "key-man" risk related to Elon Musk spreading his time thin.</p><p>-- Pushout of timeline for long-dated initiatives, such as scaled robotaxi service and/or Optimus.</p><p>-- EV tax credit removal could be a bigger negative for demand than expected.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"TSLL":"Direxion Daily TSLA Bull 2X Shares","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","BK4550":"红杉资本持仓","LU2063271972.USD":"富兰克林创新领域基金","LU0097036916.USD":"贝莱德美国增长A2 USD","IE00BK4W5L77.USD":"HSBC GLOBAL FUNDS ICAV US EQUITY INDEX \"HC\" (USD) ACC","TSLA":"特斯拉","LU0234572021.USD":"高盛美国核心股票组合Acc","BK4551":"寇图资本持仓","LU0823414478.USD":"法巴经典能源转换基金","SG9999015986.USD":"LIONGLOBAL DISRUPTIVE INNOVATION \"I\" (USD) ACC","LU0082616367.USD":"摩根大通美国科技A(dist)","LU1145028129.USD":"ALLIANZ INCOME AND GROWTH \"AQ\" (USD) INC","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","LU0466842654.USD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"A\" (USD) ACC","LU0689472784.USD":"安联收益及增长基金Cl AM AT Acc","LU0053666078.USD":"摩根大通基金-美国股票A(离岸)美元","LU2087621335.USD":"ALLSPRING GLOBAL FACTOR ENHANCED EQUITY \"A\" (USD) ACC","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - 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The decline was just Tesla's second over the past 11 sessions, and just the third decline in December.Since the election, the stock has rocketed 89.1%, as Tesla's market capitalization ballooned by $719.1 billion over that time to $1.53 trillion. And the value of Musk's stake in the company, which was 20.5% according to the latest disclosure, has swelled by $160.2 billion since the election to about $340 billion.Baird's Kallo reiterated his outperform rating on the stock and raised his price target to $480 from $280. The new target is just 1% above current levels.\"The stock has gained significant momentum and has several upcoming potential catalysts,\" Kallo wrote in a note to clients. \"We like the stock long term and would be buyers on pullbacks.\"Below are Kallo's reasons to be bullish for 2025, but also some concerns:Bull arguments-- Introduction of new vehicles will help grow volume.-- Factory utilization will increase.-- Expected removal of an EV tax credit in the U.S. by the Trump administration is a negative on an absolute basis, but a positive for Tesla relative to competitors, who will be hurt more.-- Production costs are falling for the Model 3, Model X and Model Y vehicles and for the Cybertruck.-- Automotive regulatory credits provide a boost as other OEMs fall behind emissions standards.-- Expansion into new markets.-- Favorable legislation under a Trump administration, particularly on full self-driving and the rollout of Tesla's Cybercab robotaxi.-- Continued investment in artificial intelligence through autonomy, Dojo compute and the Optimus robot.-- Growth in Tesla's energy business.-- First Optimus robots deployed in Tesla's factories.-- FSD approval in China and the European Union.Bear arguments-- Valuation.-- Sales will be \"lumpy\" as new vehicles are introduced.-- Margins will face headwinds with lower-priced vehicles.-- Robotaxi rollout delays or car accidents.-- Geopolitical risk, such as a trade war with China, as Shanghai represents a major profit center for Tesla.-- Emphasis on \"key-man\" risk related to Elon Musk spreading his time thin.-- Pushout of timeline for long-dated initiatives, such as scaled robotaxi service and/or Optimus.-- EV tax credit removal could be a bigger negative for demand than expected.","news_type":1},"isVote":1,"tweetType":1,"viewCount":28,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"CN","currentLanguage":"CN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":30,"xxTargetLangEnum":"ZH_CN"},"commentList":[],"isCommentEnd":true,"isTiger":false,"isWeiXinMini":false,"url":"/m/post/383317430939872"}
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