Tesla: Canaccord Genuity still a buyer, TP $234

(CercleFinance.com) - On Wednesday, Canaccord Genuity renewed its Buy recommendation on Tesla shares, with a price target of $234 (cp: $168.
4, +1%), even after the worse-than-expected sales figures published the previous day by the US carmaker.

The Canadian broker points out that the group's deliveries not only came in below expectations, but also below the 400,000-unit threshold, a hypothesis it had previously considered unlikely.

But why are these figures so bad?The broker asks, citing Elon Musk's erratic behavior and weak demand as possible explanations.

In its view, these under-performances are mainly due to supply chain difficulties.

Once again, if the company had not been confronted with logistics problems, and if it had been able to sell as many Models 3 as possible in the US and Cybertrucks worldwide, the quarter would have taken a very different turn, Canaccord says.


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