{"id":336431,"date":"2025-12-08T06:20:16","date_gmt":"2025-12-08T06:20:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/336431\/"},"modified":"2025-12-08T06:20:16","modified_gmt":"2025-12-08T06:20:16","slug":"morgan-stanleys-new-tesla-analyst-downgrades-stock-over-valuation-concerns","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/336431\/","title":{"rendered":"Morgan Stanley&#8217;s new Tesla analyst downgrades stock over valuation concerns"},"content":{"rendered":"<p>Morgan Stanley exited the bull camp on Tesla , saying valuation concerns outweigh its optimistic outlook for the electric vehicle maker in a huge potentially market-moving call on Wall Street. Analyst Andrew Percoco downgraded Tesla&#8217;s stock to equal weight from overweight. Percoco raised his price target by $15 to $425, but that still reflects downside of around 6% from Friday&#8217;s closing level. &#8220;Tesla is a clear global leader in electric vehicles, manufacturing, renewable energy, and real world AI and thus deserving of a premium valuation,&#8221; Percoco wrote to clients in a Sunday note, using the acronym for artificial intelligence. &#8220;However, high expectations on the latter have brought the stock closer to fair valuation.&#8221; Percoco pointed out that Tesla&#8217;s shares are trading at a whopping 30 times the firm&#8217;s EBITDA estimate for 2030. Paired with an expected underperformance compared with consensus estimates for the next 12 months, Percoco said he would &#8220;wait for a better entry.&#8221; The downgrade takes Percoco out of the majority on Wall Street, with most analysts holding either a strong buy or buy rating, according to LSEG. However, his price target is well above the average that sits around $375. Tesla shares have gained more than 12% this year, underperforming the broad S &amp; P 500 and technology-heavy Nasdaq Composite over the same period. Percoco \u2014 who recently assumed coverage of the stock for Morgan Stanley from noted long-time Tesla bull Adam Jonas \u2014 said he expects a &#8220;choppy trading environment&#8221; for Tesla over the next year. The firm had been overweight rated on the stock since September 2023. Jonas moved into a new role within the Morgan Stanley research department focusing on AI.<\/p>\n","protected":false},"excerpt":{"rendered":"Morgan Stanley exited the bull camp on Tesla , saying valuation concerns outweigh its optimistic outlook for the&hellip;\n","protected":false},"author":2,"featured_media":336432,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27],"tags":[28,122,192,113,1535,121,117,114,10058],"class_list":{"0":"post-336431","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-business","9":"tag-business-news","10":"tag-environment","11":"tag-investment-strategy","12":"tag-morgan-stanley","13":"tag-nasdaq-composite","14":"tag-sp-500-index","15":"tag-stock-markets","16":"tag-tesla-inc"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/336431","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=336431"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/336431\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/336432"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=336431"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=336431"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=336431"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}