Will Tesla Drop 30-40% ? - Analysis

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Will Tesla Drop 30-40% ? - AnalysisTesla, Inc.BATS:TSLAbossout10Tesla has recently reached new all-time highs, but there may be significant challenges ahead for the company. First, Tesla’s EV deliveries have recently declined, even though the global EV market is still growing. This is concerning because the company’s main revenue stream remains vehicle sales, and weaker demand directly affects earnings. Despite this, some analysts remain bullish because they increasingly view Tesla as more than just an automaker, arguing that it is evolving into an AI and robotics company through initiatives such as Full Self-Driving, robotaxi projects, and the Optimus humanoid robot. At the same time, Elon Musk’s compensation package and long-term targets have raised concerns. Analysts point out that several of Musk’s previous timelines, particularly for fully autonomous driving and new product launches, have been delayed or not met as originally promised. As a result, there is growing skepticism about Tesla’s ability to achieve Musk’s newest objectives, including large-scale commercial deployment of the Optimus robot. Moreover, Tesla’s P/E ratio is extremely high (around 300), indicating that the current share price of roughly $440 reflects very optimistic future growth expectations. Unless revenues and profits increase rapidly in the coming years, this valuation appears difficult to justify. Disclaimer: This analysis is for informational and educational purposes only and does not constitute financial advice, investment recommendation, or an offer to buy or sell any securities. Asset prices, valuations, and performance metrics are subject to change and may be outdated. Always conduct your own due diligence and consult with a licensed financial advisor before making investment decisions. The information presented may contain inaccuracies and should not be solely relied upon for financial decisions. I am not a licensed financial advisor or professional trader. I am not personally liable for your own losses; this is not financial advice.