Tesla price target raised to $182 from $180 at Citi

Citi analyst Itay Michaeli raised the firm’s price target on Tesla to $182 from $180 and keeps a Neutral rating on the shares. The company reported a “better-than-feared” Q1 with gross margin ahead of expectations and management sounding positive on 2024 deliveries, Q2 trends, and new product timing, the analyst tells investors in a research note. The firm says “the quarter won’t settle recent debates and consensus estimates still seem vulnerable,” but with the stock down 42% year-to-date, the “favorable reaction makes sense.” Additionally, Citi likes Tesla’s product pivot that appears to prioritize speed to launch and redesign on existing capacity. It aligns with Citi’s thesis that Tesla’s primary issue is one of product freshness, not price, contends the firm.