Lack of details at Tesla event likely a letdown, says Citi

Citi keeps a Neutral rating on Tesla with a $146 price target following the investor day. The company confirmed a 50% targeted cost reduction for its next-generation electric vehicle platform, though the lack of detail around this platform will likely be viewed as a letdown versus elevated expectations heading in, the analyst tells investors in a research note. The firm says Tesla didn’t unveil specific financial targets but reiterated the prior goal of reaching 20M units and provided incremental color on the expected number of vehicle models and total investment plans. The event provided greater clarity on Tesla’s long-term growth objectives while highlighting leading positions in several areas, says Citi. But with the stock having run up in recent weeks, the initial selloff in the shares "is understandable given few surprises and more limited roadmap details than some might’ve hoped," it adds.