Jefferies downgrades Tesla, says it does not imagine electrical carmaker can dominate auto trade

Tesla CEO Elon Musk gestures as he arrives to go to the development website of the long run US electrical automobile large Tesla, on September 03, 2020 in Gruenheide close to Berlin.

Odd Andersen | AFP | Getty Photos

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Jefferies on Thursday night downgraded shares of Tesla to carry from purchase, saying it is skeptical that the Elon Musk-led firm can in the future rule the auto trade.

“We do not imagine that Tesla can dominate the trade given the latter’s dimension, construction and politics,” Jefferies analyst Philippe¬†Houchois stated in a word to purchasers on Thursday. “Nonetheless, the a number of challenges to the trade enterprise mannequin guarantee a sturdy aggressive edge, with a ‘messianic’ model reaching far past autos, from battery provide to grid storage and autonomous driving.”

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