Which Tesla Did Trump Buy? That would be a MAGA red 2024 Model S. But Tesla has other concerns than a 78-year-old joyriding in an electric sports car. Tesla’s reign in the EV arena is faltering, and its stock is battered by slashed forecasts, delivery woes, and Musk’s political entanglements.

The future feels more uncertain. Recently, an unexpected endorsement from Donald Trump has provided the stock a much-needed boost. But the question remains: Is it time to buy, or did Elon miss the mark?

Trump in Tesla (Source: X)

Analysts Cut Tesla Targets Amid Weak Demand

Wall Street is rapidly losing confidence in Tesla. Independent investment bank Evercore ISI has slashed its price target to $235, citing weak delivery expectations for 2025. Analyst Chris McNally now estimates that 2023’s numbers will hit approximately 1.75 million vehicles, down from last year’s 1.8 million, and slightly below 2024 projections.

The Union Bank of Switzerland adjusted its figures as well, reducing estimates to 1.7 million units due to lackluster demand in Europe and China. Guggenheim Partners has also lowered its first-quarter forecast to 358,000 vehicles from a previous estimate of 405,000.

Tesla Sales (Source: S&P500)

In light of increasing competition from China’s flourishing EV manufacturers and doubts surrounding Tesla’s model lineup, the brand now appears less formidable than ever.

Trump’s Comments on Tesla

In a polished red Model S, Trump touted Tesla as “a great company” and expressed his intent to purchase one, a move perceived by some as more symbolic than substantive. Furthermore, Trump did not shy away from criticizing anti-Tesla demonstrators, labeling them “domestic terrorists.”

With a traditionally supportive consumer base in the U.S. and Europe, Tesla may face a pivotal juncture if its patrons choose to continue supporting or abandon the brand.

Could Tesla Stock Rebound?

Tesla’s stock is sending mixed signals, yet there remains potential for recovery. Following a sharp 15% decline earlier in the week, TSLA rebounded 7.2% by Wednesday.

Analysts at 99Bitcoins have noted a rounded bottom forming in the stock’s chart—a classic bullish indicator—if it can overcome resistance levels. Key price points to monitor are $230 for support and $250-$255 for upward momentum. A successful breakthrough could pave the way for a cup-and-handle formation, potentially leading to a rise towards $270.

Tesla Chart (Source: TSLA)

Additionally, the presence of a “golden cross,” where the 20-day simple moving average rises above the 200-day, is fueling optimism. Although the RSI is floating around 54, there remains ample room for upward movement before reaching overbought territories.

The challenges facing Tesla extend beyond delivery issues and brand controversies. Analysts express concerns about the long-term trajectory of the company amidst skepticism surrounding its self-driving technology. Despite Musk’s claims regarding the launch of an unsupervised robotaxi program by June, data from Tesla’s Full Self-Driving community tracker indicates minimal improvement in disengagement rates.

Furthermore, uncertainty looms over Tesla’s ability to expand its lineup. Although Musk teased a more affordable EV earlier this year, no concrete designs or production plans have been announced, leading investors to speculate about a downgraded version of the Model Y.

Final Thoughts

Many are left wondering if Trump’s support for Tesla and the optimistic trajectory outlined by analysts will suffice to revive the brand’s fortunes. As 2025 progresses, Tesla’s ability to navigate market expectations and political hurdles will define its narrative moving forward.