"Johnson pushed his Tesla price target from $19.05 to $25.28 on Wednesday, while maintaining the 'Sell' rating that has been present on the stock for a long time. GLJ has largely been recognized as the biggest skeptic of Elon Musk's company, being particularly critical of the automotive side of things. Tesla has routinely been called out by Johnson for negative delivery growth, what he calls "weakening demand," and price cuts that have occurred in past years, all pointing to them as desperate measures to sell its cars. Johnson has also said that Tesla is extremely overvalued and is too reliant on regulatory credits for profitability."
"Many believe it is a leader in autonomous driving, like Dan Ives of Wedbush, who believes Tesla will have a widely successful 2026, especially if it can come through on its targets and schedules for Robotaxi and Cybercab. Justifying the price target this week, Johnson said that the revised valuation is based on "reality rather than narrative." Tesla has been noted by other analysts and financial experts as a stock that trades on narrative, something Johnson obviously disagrees with. Dan Nathan, a notorious skeptic of the stock, turned bullish late last year, recognizing the company's shares trade on "technicals and sentiment." He said, "From a trading perspective, it looks very interesting.""
Gordon Johnson of GLJ Research raised his Tesla price target from $19.05 to $25.28 while retaining a Sell rating, valuing the stock roughly 95% below current trading levels. Johnson cites negative delivery growth, weakening demand, historical price cuts, and heavy reliance on regulatory credits as reasons for viewing Tesla as overvalued. Other analysts emphasize strengths beyond automotive sales, particularly leadership in autonomous driving and potential 2026 successes with Robotaxi and Cybercab. Some former skeptics have adopted bullish trading views based on technicals and market sentiment rather than fundamental narrative.
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