Tesla is now the top luxury car brand in the U.S.: buy Tesla stock?
- Tesla Inc sold more vehicles than BMW in the U.S. last year.
- Goldman Sachs named Tesla stock its top pick for 2023.
- Tesla shares are currently down 60% versus early August.
Tesla Inc (NASDAQ: TSLA) has uncrowned BMW to become the top luxury car brand in the United States – a title that’s escaped the U.S. automakers since late 1990s.
Tesla overtook BMW last year in U.S. sales
According to Automotive News Research and Data Center, the EV behemoth sold over 491,000 vehicles in the United States last year. In comparison, BMW sold only 332,388 in the region in 2022.
Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.
Versus a year ago, Tesla noted a whopping 56% increase in its full-year U.S. sales. That number is all the more impressive considering the U.S. luxury segment recorded an 8.0% annualised decline in overall sales in 2022.
In the EV space, the multinational now has close to 67% share in the United States. Nonetheless, Tesla stock is currently down about 60% versus early August – a sell-off that CEO Elon Musk attributes to the aggressive rate hikes in 2022 (read more).
Analyst names Tesla stock his top pick for 2023
On the flip side, many associate the hit to Musk’s $44 billion takeover of Twitter – a deal that saw him offloading billions of dollars worth of Tesla stock.
Whatever the reason, though, Goldman Sachs’ analyst Mark Delaney sees the sell-off as an opportunity to buy a quality name at a steep discount. In a recent note, he named “TSLA” a top pick and said:
We prefer Tesla and General Motors, with Tesla a cost and tech leader in EVs/clean mobility, and both Tesla and General Motors’ Cruise among the leaders in autonomy, in our opinion.
Delaney has a price target of $205 on the Tesla stock that represents about a 70% upside from here.