Tesla Faces Pressure Ahead of Earnings Report Amid Global EV Oversupply

Morgan Stanley cuts Tesla's price target, as the company's shares retreat and competition intensifies.

Morgan Stanley analyst Adam Jonas cut his Tesla price target to 345, down from 380, citing an oversupply in the global EV market and a slowing demand.
Tesla has been cutting vehicle prices early in 2024, putting pressure on margins, and Hertz announced it is selling about one-third of its EV fleet.
Tesla's profitability and deliveries will be in focus when it reports results on Wednesday, following recent price cuts and a production pause at the Berlin factory.
CEO Elon Musk has signaled he wants more control, raising questions among governance experts and retail investors.
Tesla's shares have retreated more than 14% in January, and the company is facing increasing competition from legacy automakers and Chinese EV makers.