- Barclays auto analyst warns ‘younger investors’ about rushing to buy Tesla’s stock.
- The firm said Tesla’s recent rally resembles the rise and fall of chipmaker Qualcomm in 1999.
- Barclays raised its price target on Tesla to $300 per share from $200 per share, well below Tesla’s $887.06 per share closing price on Tuesday.
Tesla’s rip higher is garnering tons of attention from investors, especially younger ones. This has one analyst going back in historyâ about 20 yearsâ to warn investors of any age about similar high-flying stocks that crashed back down to earth.
“Not to sound like an ‘Ok, Boomer’ to the younger investors rushing into TSLA share, but the recent price action brings to mind NASDAQ c. 1999,” Barclays auto analyst Brian Johnson said in a note to clients titled “Party like it’s 1999” on Wednesday.
“We continue to believe TSLA is fundamentally overvalued,” noted the analyst, who’s price forecast calls for a 65% plunge in the stock.