Goldman Sachs Cuts 2023/2024 EPS Estimates To $2.90/$4.15 From $3.00/$4.25 Previous Est. Says "We Believe That Tesla Could Further Lower Prices In 2024 To Support Higher Volumes Which We Believe Will Mitigate The EPS Benefit From Cost Reductions"
Portfolio Pulse from Benzinga Newsdesk
Goldman Sachs has reduced its EPS estimates for Tesla for 2023 and 2024 to $2.90 and $4.15 from $3.00 and $4.25 respectively. The bank believes that Tesla may lower prices in 2024 to support higher volumes, which could offset the EPS benefit from cost reductions.
September 18, 2023 | 3:56 pm
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Goldman Sachs has lowered its EPS estimates for Tesla for 2023 and 2024, suggesting potential price reductions in 2024 to support higher volumes, which could offset the EPS benefit from cost reductions.
Goldman Sachs' lowered EPS estimates for Tesla could negatively impact investor sentiment and potentially lead to a short-term decrease in Tesla's stock price. The bank's prediction of price reductions in 2024 to boost volumes could also be seen as a negative signal, as it suggests that Tesla may need to sacrifice profitability to maintain sales volume.
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