EV maker Tesla (TSLA) saw its brand’s value take a big hit this year after dropping 35% to $29.5 billion, according to Interbrand’s Best Global Brands annual report. That fall pushed Tesla down to 25th place after ranking 12th last year. The decline comes as Tesla faces tougher competition in the electric vehicle market, especially in China from BYD (BYDDF), as well as in Europe and the U.S. At the same time, CEO Elon Musk has drawn criticism for supporting right-wing and far-right political figures, which has added pressure to the company’s reputation.
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BYD, meanwhile, broke into the top 100 for the first time with a brand value of $8.1 billion. Indeed, the company has been expanding beyond China and into Europe, where it is now the second-best-selling Chinese brand after MG. Interbrand’s global strategy chief, Manfredi Ricca, called BYD “the biggest disruptor in the automotive market since Tesla came onto the scene.” Still, Ricca warned that BYD must focus on building a stronger brand story to keep its momentum going.
Outside of the EV battle, Apple (AAPL) stayed at the top of the rankings with a brand value of $470.9 billion, followed by Microsoft (MSFT), Amazon (AMZN), and Google (GOOGL). Nvidia (NVDA) had the biggest gain in the report’s history, jumping 116% to $43.2 billion and reaching 15th place, thanks to its leadership in AI and chips. Among automakers, Toyota (TM) was the top brand at sixth place overall, while Mercedes (MBGAF) ranked 10th and BMW (BAMXF) 14th. On the other hand, Ford (F), General Motors (GM), and Stellantis (STLA) did not make the list.
What Is the Prediction for Tesla Stock?
Turning to Wall Street, analysts have a Hold consensus rating on TSLA stock based on 16 Buys, 13 Holds, and nine Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average TSLA price target of $365.88 per share implies 15.3% downside risk.
