![First Of Many Wall Street Cuts For Tesla? Fund Manager Sees Domino Effect In Motion After Deutsche Bank Lowers Delivery Estimate – Tesla (NASDAQ:TSLA) First Of Many Wall Street Cuts For Tesla? Fund Manager Sees Domino Effect In Motion After Deutsche Bank Lowers Delivery Estimate – Tesla (NASDAQ:TSLA)](https://cdn.benzinga.com/files/images/story/2024/Tesla-cars-_0.jpeg?width=1200&height=800&fit=crop)
March 12, 2024 3:59 AM | 1 min read
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Future Fund Managing Partner Gary Black‘s prediction of lowered delivery estimates for Tesla Inc. (NASDAQ:TSLA) proved accurate as Deutsche Bank took the lead, tempering expectations ahead of the electric-vehicle giant’s first-quarter deliveries update in early April.
What Happened: Deutsche Bank reduced its first-quarter deliveries estimate for Tesla from 476,000 units to 427,000 units, Black said in a post on social media. The firm also lowered its 2024 delivery forecast from 2.083 million units to 1.960 million units.
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“We expect other analysts to do the same over the next two weeks,” Black said. He anticipates Tesla’s first-quarter sales to be around 425,000 units, compared to the current consensus of 474,000 units.
Black reiterated his previous call for a reduction in the consensus estimate.
See Also: Everything You Need To Know About Tesla Stock
Price Cuts Ineffective: Responding to a follower who suggested price cuts by Tesla to boost sales, Black argued that such a move wouldn’t be effective. “Cutting price does not put more hardware on the road since competitors generally match TSLA’s price cuts,” Black said.
Black’s Future Fund Active ETF (NYSE:FFND) reduced its Tesla holding from over 5% to under 3% last week, anticipating estimate cuts.
Tesla shares remain volatile amid these uncertainties. On Monday, the stock rose 1.39% to $177.77, according to Benzinga Pro data. It has traded within a 52-week range of $152.37 – $299.29.
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Photo via Shutterstock
Become An Options Master in Today’s Market!
Wow! The S&P 500 hit an all-time high. Tech and health sectors are red hot. Now’s the time to learn Nic Chahine’s 411% gains-with-options secret. Grab his free report now.
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