Dan Ives of Wedbush Securities Analyst cut down Apple and Tesla price targets over the weekend as President Trump’s tariffs threaten to disrupt both businesses.
“The economic armageddon of tariffs unleashed by Trump is a complete disaster for Apple given China’s massive production revelation,” Ives said in a weekend warning note. “In our view, these tariffs will not adversely affect US tech companies more than Apple, which has 90% of iPhones produced and assembled in China.”
Wedbush has reduced its Apple stock price target to $75, or $250 per share. Apple’s shares are trading at $180 today, down 4.3% this afternoon.
Ives also reduced Tesla’s price target from $550 to $315.
Ives said the impact of tariffs was not the only reason for price cuts. He also cited CEO Elon Musk’s politics. This created a brand crisis for the automaker. Musk’s relationship with tariff policies with Trump has affected sales in the US and Europe, threatening Tesla’s popularity in China.[ing] Chinese consumers who buy domestically such as BYD,” Ives said.
“Tesla has essentially become a global political symbol,” he writes. “It’s time for Musk to step up, read the room and become the leader of this uncertainty.
Tesla shares were down nearly 10% compared to Friday’s closing price, but as of Monday afternoon it had rebounded slightly.
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