Tesla (NASDAQ:TSLA) was removed from Wedbush Securities Best Ideas List on Friday after the electric vehicle giant disappointed with an outlook for this year that lacked many specific.
Wedbush Securities analyst Dan Ives and kept a Buy rating in place on Tesla (TSLA), but fired off a list of ideas to get sentiment on Tesla (TSLA) turned around again. At the top of the list was the notion that Tesla (TSLA) could win back big investors by announcing a $10B share buyback. Of note, Tesla (TSLA) said free cash flow was $2.06B in Q4 and the company’s quarter-end cash position increased sequentially by $3.0B to $29.1B. Another item on the list was creating an X Holding Structure that would include the AI Initiatives (Dojo, Optimus, FSD) to give Elon Musk the voting control he desires over those projects. Ives also suggested the Musk secure capital for the X social media platform to alleviate the risk of more TSLA stock sales, preserve margins by pulling back on price cuts, and do aggressive AI acquisitions/ outside capital to beef up the AI business.
Wall Street analyst sentiment is at its lowest level since March of 2021.
Shares of Tesla (TSLA) were up 0.75% in early afternoon trading on Friday to end the post-earnings skid for the moment. The stock is down about 26% on a year-to-date basis.