The US stock market has certainly struggled with increased volatility and a major downturn this month. With President Donald Trump announcing a new batch of Liberation Day tariffs, there is a host of uncertainty surrounding expectations on Wall Street. Indeed, that filed a recent Tesla (TSLA) outlook that cut the target price by 40%, but what should traders expect in April?
The market enjoyed a brief turnaround to start Tuesday despite uncertainty derived from concerns of a potential recession and brewing trade war. Moreover, the country announced an additional 104% tariff on China as those concerns continued to reach a new level.
Also Read: Elon Musk Slams White House Trade Advisor for ‘False’ Tesla Claims
Tesla Target Gets Cut as Market Faces Volatile Week Ahead
Through the first three months of 2025, Tesla has faced increased struggle. The EV manufacturer saw the public protest vehicles as its stock plummeted early in the year. Over the last five days, shares have fallen more than 13%, with the stock down 38% year to date.
That is a key reason for experts getting rather bearish on the company. With so much uncertainty for the nation’s economic status and CEO Elon Musk’s continued divisiveness, there are decreasing reasons to be optimistic. As a result, Tesla has seen its recent price target get cut by 40% as it faces a worrisome April.
Also Read: Tesla (TSLA) Key Levels to Watch in April as Stock Looks to End 30% Drop
That outlook came from a notable Tesla bull, Wedbush’s Dan Ives. In his recent analysis, he noted that TSLA will face increasing challenges amid the US stock market’s reaction to the Trump tariff plan. Specifically, Ives noted that both Musk’s “brand crisis” and economic policy created a “perfect storm” for the company.
“Tesla is less exposed to tariffs than other US automakers,” Ives said. “The bigger worry, in our opinion, is Tesla’s success in China, as this key region is the linchpin to the future success of Tesla,” he added.
He noted that the brand has “essentially become a political symbol globally.” Moreover, that limits its upside. Amid the challenges, it currently has a low-end price projection of $120, according to CNN. That shows the stock has a risk of a 48% decline throughout 2025.
