Piper Sandler analyst Alexander Potter lowered the firm’s price target on Tesla to $290 from $300 and keeps an Overweight rating on the shares. The firm updated its model to reflect the recent disclosure of Q3 delivery results, as well as updated expectations for earnings. Piper’s estimates are moving slightly downward as a result of these changes. Cybertruck and Tesla’s other growth initiatives “are on the horizon,” and there is a reasonable likelihood that its margins will bottom in Q3, the analyst tells investors in a research note. Still, Piper wouldn’t be surprised if Tesla “trades sideways, at best, in the coming months.” Looking into 2024, the firm says the company’s’ delivery growth will likely slow before reaccelerating, but it believes this is already reflected in Street estimates.
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