‘Don’t Buy Tesla Stock Right Now,’ Says Argus Research

Shares of EV maker Tesla (TSLA) are down today after Argus Research, led by four-star analyst Bill Selesky, hit it with a downgrade. This adds to the growing list of Wall Street analysts who are worried about the company’s outlook following CEO Elon Musk’s recent clash with President Trump. As a result, Argus Research now has a Hold rating and no price target. It is also worth noting that Tesla’s stock has now dropped about 40% from its December peak and is down 27% for 2025, making it the worst performer among the “Magnificent Seven” tech giants.

Unsurprisingly, Argus analysts focused heavily on the Musk-Trump dispute and its potential impact on Tesla’s demand. In their downgrade note, they warned that the war of words, combined with the upcoming expiration of EV tax credits, could further weaken sales. They also said that Tesla’s stock now appears to be driven more by non-fundamental events rather than by its business performance, and the feud is seen as a key overhang for the stock, despite Musk’s openness to repairing relations with Trump.

Separately, Baird shared a similar view and cut Tesla from Buy to Hold with a $320 price target. Indeed, analyst Ben Kallo pointed to the risks tied to Musk’s political involvement, which he said adds uncertainty to the company’s future and raises concerns about potential brand damage. Kallo also believes that the market may be too optimistic about Tesla’s robotaxi program, which is set to launch in Austin this week. While Baird still sees long-term potential, it expects doubts about brand strength and sales growth to linger until Tesla can show “sustained evidence of volume growth.”

What Is the Prediction for Tesla Stock?

Overall, analysts have a Hold consensus rating on TSLA stock based on 14 Buys, 12 Holds, and 10 Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average TSLA price target of $281.77 per share implies 4.1% downside risk.

See more TSLA analyst ratings