Stock Market News

Jefferies Analyst Visits Tesla Berlin Plant

2022.08.26 17:05

Jefferies Analyst Visits Tesla Berlin Plant
Jefferies Analyst Visits Tesla (TSLA) Berlin Plant

By Michael Elkins

A Jefferies analyst adjusted their price target for Tesla (NASDAQ:TSLA) to reflect the electric car company’s recent 3:1 stock split. The company’s new price target for 12 months is $350.

The analyst spent a day in investor meetings with a visit to Tesla’s new plant in Berlin. The head of Tesla’s investor relations, Martin Viecha focused on capacity build and further reduction in COGS/unit during the meetings.

Viecha highlighted how the Berlin and Austin ramp up will dilute higher costs.

The analyst wrote that “Tesla expects a further step down in costs from a new platform in 2024, likely a robotaxi given recent comments from CEO Musk, although we understand some flexibility on product concept. Inflation Reduction Act wording leaves room for interpretation but should enable bigger contributions to lower battery cost/kwh up to $45.”

He also believes that a higher vertical battery integration is giving Tesla an edge in localizing material sourcing and processing to qualify for cost incentives while sales incentives extend to corporate buyers.

Tesla’s Berlin plant currently produces around 1,000 units per week on a 2 shift/5day schedule. The electric vehicle maker is aiming to produce 5,000 units per week by the end of the year. Full capacity for the plant looks like 500,000 units on a 4 shift/7day schedule. Though the analyst is concerned with how many units can be sold with Tesla’s limited line-up, Tesla sees scope for 3-4M units combined for the Model 3 & Model Y. In Jefferies’ view Tesla continues to challenge the industry’s business model at multiple levels.

Source

Related Articles

Leave a Reply

Back to top button
bitcoin
Bitcoin (BTC) $ 83,635.41 0.43%
ethereum
Ethereum (ETH) $ 1,904.77 0.50%
tether
Tether (USDT) $ 1.00 0.01%
xrp
XRP (XRP) $ 2.35 0.35%
bnb
BNB (BNB) $ 640.60 6.06%
solana
Solana (SOL) $ 128.94 3.71%
usd-coin
USDC (USDC) $ 1.00 0.01%
cardano
Cardano (ADA) $ 0.725903 0.53%
dogecoin
Dogecoin (DOGE) $ 0.174147 0.55%
tron
TRON (TRX) $ 0.214566 1.74%
staked-ether
Lido Staked Ether (STETH) $ 1,898.87 0.58%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 83,396.34 0.57%
pi-network
Pi Network (PI) $ 1.34 10.13%
leo-token
LEO Token (LEO) $ 9.80 0.64%
chainlink
Chainlink (LINK) $ 13.82 1.54%
the-open-network
Toncoin (TON) $ 3.42 0.47%
stellar
Stellar (XLM) $ 0.274072 1.04%
usds
USDS (USDS) $ 1.00 0.02%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,276.75 0.48%
hedera-hashgraph
Hedera (HBAR) $ 0.191432 0.65%
shiba-inu
Shiba Inu (SHIB) $ 0.000013 1.67%
avalanche-2
Avalanche (AVAX) $ 18.61 2.91%
sui
Sui (SUI) $ 2.31 0.01%
litecoin
Litecoin (LTC) $ 93.24 1.68%
polkadot
Polkadot (DOT) $ 4.42 3.28%
mantra-dao
MANTRA (OM) $ 6.79 2.82%
bitcoin-cash
Bitcoin Cash (BCH) $ 336.18 0.21%
ethena-usde
Ethena USDe (USDE) $ 0.999791 0.06%
bitget-token
Bitget Token (BGB) $ 4.47 0.54%
weth
WETH (WETH) $ 1,904.91 0.59%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 0.995229 0.58%
hyperliquid
Hyperliquid (HYPE) $ 13.62 0.19%
whitebit
WhiteBIT Coin (WBT) $ 28.45 1.31%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,024.30 0.54%
monero
Monero (XMR) $ 209.47 1.71%
uniswap
Uniswap (UNI) $ 6.22 0.11%
susds
sUSDS (SUSDS) $ 1.04 0.06%
aptos
Aptos (APT) $ 5.37 2.07%
dai
Dai (DAI) $ 0.999995 0.01%
near
NEAR Protocol (NEAR) $ 2.58 1.98%
pepe
Pepe (PEPE) $ 0.000007 1.00%
okb
OKB (OKB) $ 49.08 5.76%
mantle
Mantle (MNT) $ 0.834913 5.37%
internet-computer
Internet Computer (ICP) $ 5.75 0.70%
gatechain-token
Gate (GT) $ 21.99 1.80%
ondo-finance
Ondo (ONDO) $ 0.854085 0.68%
ethereum-classic
Ethereum Classic (ETC) $ 17.88 0.81%
aave
Aave (AAVE) $ 169.82 1.25%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 83,574.39 0.52%
tokenize-xchange
Tokenize Xchange (TKX) $ 30.01 0.25%