The analyst firm lowered its 2015 EPS estimates for Tesla to $2.45 a share from its previous estimates of $4.39 a share for the year. Analysts surveyed by Thomson Reuters expect the company to report earnings of $2.99 a share for 2015.
Morgan Stanley also lowered its 2015 Model X delivery forecast to 5,000 vehicles from its previous estimate of 15,000 vehicles.
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The analyst firm maintained its "buy" rating and $320 price target for Tesla.
Separately, 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, solid stock price performance and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income and weak operating cash flow."