Tesla Stock Continues To Lose Spark, Tumbles To 2-Year Low
Loading the player… Electric-car maker Tesla Motors ( TSLA ) was once a high-flying stock, but after months of moving more or less sideways, the stock has now punctured its lowest level in two years. The downturn comes as analysts raise concerns over deliveries and demand, with Pacific Crest downgrading the stock to sell on Wednesday. And on Tuesday Morgan Stanley, which had been very bullish on Tesla in the past, slashed its price target to 333 from 450. Shares plunged 5.1% in heavy volume, hitting their lowest level since February 2014. Shares are now trading about 40% below their July high, reached as the stock failed to break out of a base. Tesla stands apart from other car manufacturers as a luxury electric-car maker, but it has also been at the forefront of the implementation of self-driving technology. Others are in pursuit, including Mobileye ( MBLY ), Alphabet ( GOOGL )-owned Google, Baidu ( BIDU ) and potentially Apple ( AAPL ). Mobileye is trading 60% below its high reached in August. Shares have been seeing heavy volume on many down days. Alphabet dropped 4%, sinking below the key 50-day line in quick turnover and erasing much of its gains from the past four sessions. Alphabet had hit a record high Tuesday intraday. Baidu is trading over 30% below its 52-week high. Shares have been trending lower since November. Apple has also been trending lower for the past several months and is 28% below its April peak. But shares are up today, pushing Apple’s market cap back above Alphabet’s once again after the Google parent grabbed that crown on Tuesday. Tesla reports quarterly earnings in one week.