JPMorgan Maintains Bearish Outlook on Tesla, Says Lowered EPS Estimates Highlight Slowing Growth Momentum

MaticHoleFiller · 2026-04-08T04:24:48+00:00

JPMorgan Chase once again focuses on Tesla, believing the stock still has significant downside potential. They maintain a "Underweight" rating and have lowered Q1 earnings per share estimates to $0.30. The stock price is significantly disconnected from actual performance, with a target price of $145, implying approximately 60% downside risk.

MaticHoleFiller

2026-04-08 04:24:48

Abstract generation in progress

Tesla is again the focus of attention for JPMorgan Chase, with the firm maintaining that the stock still has significant downside potential.

Ahead of Tesla’s first-quarter earnings report, JPMorgan Chase kept its “underweight” rating and lowered its expectations. The firm currently estimates Tesla’s first-quarter earnings per share at approximately $0.30, below its prior estimate of $0.43 and below the market consensus expectation of $0.38. This adjustment was made after Tesla released a relatively weak delivery report and saw a decline in energy storage installations—both indicating that its core business is cooling off.

However, the bigger issue is valuation. JPMorgan Chase sticks to its $145 target price for December 2026, which implies roughly 60% downside from current levels. The firm’s argument is that the current share price still far outpaces actual performance. In fact, although Tesla’s growth has been nowhere near as strong as it was after its deliveries peaked in June 2022, the stock price is still more than 50% higher than it was then.

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