Tesla shares grossly overvalued - analysts disagree about price potential

Tesla shares grossly overvalued - analysts disagree about price potential

According to a report by www.finanzen.net, Roth MKM analyst Craig Irwin warns of massive overvaluation of Tesla shares. He predicts a price target of just $85, which represents a 61.2 percent drop. Irwin criticizes that Tesla's market capitalization is about three times as high as Toyota's, even though Tesla produces far fewer vehicles. Despite increasing competition in the electric vehicle space and a possible slump in Tesla shares, many analysts remain confident about Tesla's continued upside potential.

According to Craig Irwin's warning, Tesla shares could lose significant value in the coming months. With a price target of $85, this would represent a 61.2 percent decline. This could cause significant turmoil in the electric vehicle market and technology sector, given Tesla's leadership in these industries.

Increasing competition in the electric vehicle space, particularly from Chinese manufacturers like BYD, could further cloud Tesla's growth prospects. Losing its position as the world's largest electric car maker could weaken investor confidence in Tesla's long-term growth ability.

Nevertheless, some analysts such as Morgan Stanley and Deutsche Bank maintain their positive view of Tesla and see further upside potential. These differences in analyst opinions could lead to a volatile period in the stock market, especially for Tesla investors.

In the coming months, it will be crucial how Tesla responds to growing competition and whether the company is able to maintain its growth figures. However, if Tesla successfully brings its announced affordable vehicle model onto the market, this could represent a positive development for the company. Nevertheless, uncertainty remains about Tesla's long-term price development.

Despite the mixed analysis results, Tesla stock remains a focused topic for investors and market observers and is expected to continue to have a strong impact on the stock market and the financial industry.