Truist Analyst Maintains Cautious Stance on Tesla Despite Pay Package Resolution
Truist's top analyst William Stein reaffirmed a Hold rating on Tesla (TSLA) with a $406 price target, citing lingering uncertainties despite shareholder approval of Elon Musk's $1 trillion compensation package. The removal of leadership concerns clears one hurdle, but Stein highlights Tesla's long development timeline for physical AI products—including full self-driving and robotics—as a key risk factor.
Activist investors plan a November 15 'Tesla Takedown' protest opposing Musk's pay deal, adding to the company's challenges. While acknowledging Tesla's valuation ties to AI advancements, Stein characterizes the current setup as 'tricky,' opting for neutrality until technological milestones materialize.