The reason for this week's significant stumble appears to be most strongly linked to a note from Morgan Stanley's Jonas Adams on Monday. The analyst, who's usually quite bullish on TSLA, lowered his future outlook by $117 – from $450 to $333. According to The Motley Fool, the missive read, in part "We are lowering our price target by 26% to reflect our lowered volume expectations for Model X and Model 3, a lower valuation for Tesla Energy, and accelerating competition in the mobility business." The revised estimate, of course, still places the price a decent amount above where it stands today.
It could also be speculated that some of this decline – a very small part – might also be linked to reports that CEO Elon Musk recently cancelled the Model X reservation of a customer after he published a scathing indictment of the company's Model X launch event entitled, "Dear @ElonMusk: You should be ashamed of yourself." The X-order abrogation has been getting some attention after the customer followed up with a further provocative post, "Banned by Tesla!." For his part, Musk seems slightly bemused by the number of headlines the issue has created, Tweeting, "Must be a slow news day if denying service to a super rude customer gets this much attention."
Depending on how one sees the half-emptiness/fullness of the Tesla teacup, and the tempest therein, one might want to consider placing an order to buy/sell for first thing in the morning. Or, of course, wait until the automaker releases its report on its fourth-quarter financials next Wednesday, when we expect a significant amount of light will be shone on the outfit's current situation and near-term outlook. As usual, it is important to note that we can not offer investing advice – see a professional. Also, the staff of Autoblog holds no direct financial position in Tesla, or any other automaker.