Deutsche Bank sees ‘meaningful downside risk’ to 2024 consensus for Tesla

Deutsche Bank notes that Tesla’s Q3 deliveries missed the consensus forecast of 455,000 and the firm’s forecast of 440,000 units, though the company reiterated that its volume target 1.8M vehicles for the year, suggesting sequential improvement in Q4. However, the firm thinks “the more meaningful downside risk is to 2024 consensus” due to limited volume growth next year and minimal Cybertruck contribution. With first Cybertrucks still scheduled to be delivered in Q4, the firm believes “Tesla’s message could be optimistic about next quarter,” added the analyst, who has Buy rating and $285 price target on the shares.