NEW YORK (TheStreet) -- Shares of Telsa Motors Inc. (TSLA) are lower today by 3.08% to 206.41 as Panasonic Corp. (PCRFY), the automaker's main supplier of lithium-ion cells for its electric Model S sedans, has yet to commit to investing in major U.S. battery plant encouraged by Telsa Chairman Elon Musk.
In Tokyo, Panasonic President Kazuhiro Tsuga told reporters that he was concerned about the investment risks for Telsla's "Gigafactory" battery project. Telsa has said that the facility could cost up to $5 billion to build.
"Having Panasonic as a joint venture partner would facilitate strategic access to Pansonic's supply chain, and reduce risks," said Craig Irwin, an analyst for Wedbush Securities in a note today. Irwin lowered his target price for Tesla's shares to $275 from $295. He has an "outperform" rating on the stock.
Must Read: Warren Buffett's 10 Favorite Stocks
TheStreet Ratings team rates TESLA MOTORS INC as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate TESLA MOTORS INC (TSLA) a HOLD. The primary factors that have impacted our rating are mixed ? some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. However, as a counter to these strengths, we find that the company's profit margins have been poor overall."