Despite initial investor enthusiasm surrounding the launch of Tesla’s (NASDAQ: TSLA) robotaxi public service on June 22 in Austin, a Wall Street analyst is cautioning that the electric vehicle maker’s stock outlook remains shaky.
Specifically, Guggenheim analyst Ronald Jewsikow, in a note on June 23, maintained a bearish stance on Tesla, reaffirming his ‘Sell’ rating with a price target of $175, representing a 46% downside from current levels.
While acknowledging that influencer-shared videos showed “almost entirely clean driving performance,” Jewsikow characterized the launch as “a relatively uneventful Sunday in Austin.”
His comment appeared to downplay the hype, even as the stock held firmly above the $300 mark in the wake of the rollout.
Despite offering modest praise for the vehicle’s performance, the analyst reiterated concerns over Tesla’s underlying business fundamentals, warning they are “deteriorating at an alarming rate.”
Jewsikow has previously argued that recent stock gains are being driven more by excitement over the robotaxi reveal and broader political narratives than by actual financial results.
He also warned that investor expectations for 2025 and 2026 remain overly optimistic, noting that bullish assumptions around Tesla’s automotive segment are increasingly being tested.
More bearish sentiments on TSLA stock
Similarly, UBS analyst Joseph Spak maintained a bearish view on Tesla, also assigning a Sell rating on June 23 with a price target of $215.
Unlike Guggenheim’s position, UBS’s bearish outlook is less focused on the robotaxi and more on weaker-than-expected Q2 deliveries. He expects Tesla to report 366,000 deliveries for the quarter, 10% below consensus estimates.
UBS noted that while the quarter could disappoint, the firm views the upcoming earnings call as an opportunity for CEO Elon Musk to refocus investor attention on his long-term vision.
Adding further pressure, Tesla’s new vehicle sales in Europe dropped 27.9% year-over-year in May, even as overall electric vehicle sales in the region surged by 27.2%.
In contrast, European car sales rose by 1.9%, buoyed by strong demand for plug-in hybrids and alternative-fuel vehicles.
Tesla’s European market share fell to 1.2% in May, down from 1.8% a year earlier, as consumers increasingly opt for more affordable Chinese EVs and some push back against Musk’s public persona.
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