They cite limited markets for high-priced Tesla vehicles, repeated quality problems, huge capital costs for factories, and growing competition from conventional automakers. Ark sees Tesla’s shares rising to US$1,400 by 2024. “Tesla shares are in our view, and by virtually every conventional metric, not only overvalued, but dramatically so,” J.P. Morgan analyst Ryan Brinkman wrote in a note to investors. Demand for Tesla shares is expected to be strong on Monday as institutional investors buy to make their portfolios mirror the S&P 500. “At some point Tesla has to prove itself as a business, not as a stock market phenomenon,” Gordon said.

Source: The Standard December 21, 2020 15:22 UTC