NEW YORK (TheStreet) -- Tesla Motors (TSLA - Get Report) stock is tumbling 3.29% to $184.91 on Monday after Morgan Stanley dropped its price target to $333 from $450 earlier this morning, citing product launch delays, falling oil and competition.
Although the firm reaffirmed its "overweight" rating on the stock within its cautious industry view, the launch of the Model X has been delayed due to manufacturing and engineering hurdles, analysts said.
As a result that may have added hundreds of millions of dollars to costs.
In addition, analysts commented growing competition saying, "We have been surprised by the pace and breadth of announcements and capital commitments by a variety of auto and non-auto players focused on electric, shared, and autonomous vehicles over the past four or five months."
Separately, CEO Elon Musk boosted his investment in the electric car maker. He exercised 532,000 Tesla stock options last week and used over $50 million of his own money to cover the taxes on shares, according to MarketWatch.
TheStreet Ratings currently has a "Hold" rating on the stock with a letter grade of C-.
The company's strengths can be seen in multiple areas, such as its revenue growth and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: TSLATSLA data by YCharts