Tesla remains a prominent beneficiary of the Inflation Reduction Act, but Bernstein believes the risk-reward for the stock is not attractive going forward.
"We see the IRA law as a clear positive for Tesla," said Toni Sacconaghi in a note to clients Wednesday. "That said, while we acknowledge TSLA's innovation and financial success, we continue to struggle to justify the company's valuation." The bill, which aims to curb inflation and invest in climate projects, includes a tax credit worth up to $7,500 for buyers of new electric vehicles .
Sacconaghi views Tesla and original equipment manufacturers such as General Motors and Ford as key beneficiaries of the credit, with the Model Y and Semi truck among the best situated within Tesla's portfolio. While shares of Tesla have toppled nearly 16% this year and more than 28% from their highs, Bernstein believes the stock price does not support a strong risk-reward going forward.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Tesla Fans Put Child in Path of Moving Tesla on Self-Driving ModeTesla owner behind the Twitter account Whole Mars Blog actually chose to throw a live child in front of a moving car over the weekend to prove a point.
Read more »
Tesla Pushes FSD Beta 10.69 To 1,000 Testers, Announces $3K Price HikeFSD Beta 10.69 brings a series of improvements, including solving unprotected left turns, smoother driving, fewer false slowdowns and much more.
Read more »
Tesla Enthusiast Implants Car Key Inside His FleshTesla owner Brandon Dalaly now has a contactless, car-unlocking microchip, outfitted with a Tesla-linked app, installed in the back of his right hand.
Read more »
Tesla Aero Hubcap Replacement: Hub & Lug Nut Covers — Quick Installation & Review (Video)I recently lost one of the original aero hubcaps our Tesla Model 3 SR+ came with. It seems that driving into a large amount of standing water in the midst of a ginormous Florida thunderstorm
Read more »
Tesla Raises Prices On 'Full Self-Driving' SoftwareThe new price of $15,000 is a $3,000 increase on the product that continues to not actually make your car fully self-driving.
Read more »
Tesla Raises Prices On 'Full Self-Driving' SoftwareThe new price of $15,000 is a $3,000 increase on the product that continues to not actually make your car fully self-driving.
Read more »