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Tesla (TSLA - Get Report) shares fell sharply Monday, at one point sliding under the $200 mark, as an analyst at Wedbush raised further concerns over underlying demand for the carmaker's flagship Model 3.

Wedbush analyst Daniel Ives cut his price target on the clean-energy carmaker to $230 from $275, citing "major concerns" with respect to its growth prospects and domestic demand for the Model 3, calling the company's challenges a "code red situation" and describing its path to profitability as a "Kilimanjaro-like uphill climb".

At last check, Tesla shares were down 4.8% to $200.98. The stock fell to as low as $195.25 in trading Monday. 

Last week, Tesla founder and CEO Elon Musk told employees in an email that, effective immediately, he and the company's new CFO will personally review all expenses going forward in a "hardcore" attempt to cut costs following massive losses during the last quarter.

That concern for line-item discipline followed a move by Musk to buy $25 million worth of shares amid a $2.7 billion capital raising that came only days after he told investors that while there was "merit" to the idea of raising new cash, "I don't think capital has been constrained on our growth thus far", adding that "if there was a final constraint on growth would've faced capital before now."

"There's more work to do, and Tesla today is far more efficient operating organization than it was a year ago," Musk said on April 24. "We've made dramatic improvements across the board."

However, in a 10-Q filing with the SEC published on April 29, Tesla said that while it expects that cash flow from its current operations will be enough to cover its future expenditures, it could also look to other sources for funds.