US Stock Market: Tesla Will Crash To $23, Analyst Warns

Vinod Dsouza
tesla elon musk stock market wall street
Source: inventiva.co

Elon Musk’s Tesla (TSLA) is gaining momentum in the US stock market and is currently hovering around the $190 mark. Tesla experienced a rally on Monday as it spiked nearly 8 points with an upside swing of close to 4.2%. However, Tesla remained on a slippery slope as it fell from a 52-week high of $299 to $190. The stock is unable to reclaim its all-time high and is facing resistance at the $200 level.

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Morgan Stanley analyst Adam Jones had previously set the stage predicting that Tesla stocks could reach $380. Moreover, the string of losses has led analysts to cut Tesla stock pricing indicating a bearish thesis. Jones revised the price prediction lowering Tesla’s price to $345 but remained fairly bullish on the stock. Read here for a realistic price prediction on how high the US stock market could hit in 2024.

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US Stock Market: Tesla Stocks Could Crash To $23, Says Morgan Stanley Analyst

Tesla
Source: NPR

The Founder and CEO of GLJ Research Gordon Johnson warned that Tesla stocks could no longer remain bullish in 2024. In a recent interview with CNBC’s Street Signs, Johnson explained that Tesla could crash to $23.53. Johnson explained that the demand for EV cars does not exist in the US and Tesla will soon find it hard to sustain its revenue.

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He added that Tesla cannot conquer the EV segment as players like Ford and General Motors are entering the market. This would make Tesla hard to survive and the competition will force them to pull their prices down. The CEO said that the EV makers are charging sky-high prices and could soon receive a reality check from consumers.

In conclusion, considering all these developments, Johnson predicts Tesla stocks could hit $23. The grim price prediction stands out from the other analysts who remain relatively bullish on Tesla’s stock prices.