UBS Group Reiterates "Sell" Rating for Tesla (NASDAQ:TSLA)
- by lulegacy
- Jan 05, 2026
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Key Points
UBS reiterated a Sell rating on Tesla with a $247 price objective, implying roughly a 45% downside from the current share price.
Analyst coverage is mixed — MarketBeat's consensus is a Hold with a $406.47 average target, while Tesla trades near $451 and carries a high valuation (P/E ~301) and a ~$1.5 trillion market cap.
Sentiment and fundamentals are conflicted: Q4 deliveries slightly missed estimates, analysts cite competitive pressure from BYD, and notable insider sales (Kimbal Musk and the CFO) occurred amid ~66% institutional ownership. After Four Red Days in a Row, Is Tesla’s Rally in Trouble?
In other news, Director Kimbal Musk sold 56,820 shares of the stock in a transaction that occurred on Tuesday, December 9th. The stock was sold at an average price of $450.66, for a total transaction of $25,606,501.20. Following the sale, the director directly owned 1,391,615 shares in the company, valued at approximately $627,145,215.90. This represents a 3.92% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Vaibhav Taneja sold 2,637 shares of the company's stock in a transaction that occurred on Monday, December 8th. The stock was sold at an average price of $443.93, for a total transaction of $1,170,643.41. Following the completion of the sale, the chief financial officer directly owned 13,757 shares of the company's stock, valued at approximately $6,107,145.01. This represents a 16.09% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 19.90% of the stock is owned by company insiders.
Institutional Inflows and Outflows
A number of large investors have recently added to or reduced their stakes in the business. Norges Bank bought a new stake in Tesla in the 2nd quarter valued at about $11,839,824,000. Kingstone Capital Partners Texas LLC lifted its holdings in Tesla by 581,880.5% during the 2nd quarter. Kingstone Capital Partners Texas LLC now owns 6,436,704 shares of the electric vehicle producer's stock worth $2,044,683,000 after purchasing an additional 6,435,598 shares in the last quarter. Vanguard Group Inc. boosted its stake in Tesla by 1.8% during the second quarter. Vanguard Group Inc. now owns 251,390,681 shares of the electric vehicle producer's stock valued at $79,856,764,000 after buying an additional 4,502,976 shares during the period. Holocene Advisors LP lifted its stake in Tesla by 132.2% during the third quarter. Holocene Advisors LP now owns 6,157,000 shares of the electric vehicle producer's stock worth $2,738,141,000 after purchasing an additional 3,505,000 shares during the last quarter. Finally, Amundi increased its stake in shares of Tesla by 20.4% in the second quarter. Amundi now owns 20,194,152 shares of the electric vehicle producer's stock worth $6,374,284,000 after buying an additional 3,422,270 shares during the period. 66.20% of the stock is currently owned by institutional investors and hedge funds.
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