Tesla (TSLA) opened Monday trading at $400.49 after Jefferies lowered its price objective to $375, signaling about a 6% downside and flagging a new structural risk for investors.
Analyst Concerns Over a Possible Tesla‑SpaceX Link
Jefferies argues that growing speculation about a Tesla‑SpaceX merger could turn TSLA shares into a proxy for SpaceX performance, detaching the stock from Tesla’s automotive core. The brokerage notes that after SpaceX’s recent IPO, market chatter suggests shareholders may treat Tesla as a tracker to avoid dilution of their stakes.
Market Implications and Investor Outlook
If the merger narrative gains momentum, Tesla’s market valuation could separate from its underlying business metrics, complicating efforts by investors to gauge electric‑vehicle profitability. Jefferies warns that valuation and earnings estimates appear misaligned and that the disconnect is unlikely to resolve swiftly. The firm also expects robotaxi services to fall short of consensus expectations, adding further pressure on the price. Crypto and blockchain investors, who often monitor Tesla’s price movements, should therefore treat the stock with heightened caution.