Tesla Faces Market Pressures, Analysts Remain Bullish

Elara Capital expresses caution regarding Tesla's potential impact on the Indian automotive market, noting that Tesla's pricing remains significantly higher than local competitors, which could hinder its market entry. Analyst Jay Kale highlights that the success of Tesla in India will depend on the specific models introduced, as well as the revival of first-time car buyers, which is currently projected to be slow. In the U.S., CFRA Research remains bullish on Tesla, citing the enormous $5 trillion market opportunity within autonomous driving, although challenges such as declining sales in Europe and dependence on the Model 3 and Model Y are concerning. Protests against CEO Elon Musk's political involvement have also emerged, potentially affecting consumer sentiment. Despite these challenges, analysts like Garrett Nelson and Morgan Stanley maintain a positive outlook on Tesla's stock, anticipating significant growth from its robotaxi business. Overall, while there are optimistic projections for Tesla's future, immediate hurdles in various markets present a complex landscape.