JPMorgan Warns of 60% Downside for Tesla Stock Amid Financial Concerns

Tesla shares fell 3% to $350 as JPMorgan warned of a potential 60% price correction, citing a widening gap between valuation and performance. The investment bank noted that financial expectations for Tesla have effectively collapsed for the next several years. This recent downward movement extends a broader decline seen since the beginning of the year, driven by various macroeconomic and industry headwinds. Selling pressure remains high due to persistent concerns over delivery shortfalls and operational execution risks facing the manufacturer. Analysts highlighted that the company's financial fundamentals have failed to keep pace with its market capitalization growth. This outlook underscores the significant challenges Tesla faces in maintaining its valuation amid deteriorating long-term financial expectations.