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Goldman Sachs analyst, Patrick Archambault, single-handedly did a number to Tesla Motors stock price on Tuesday when he set a 6-month price target of $84 per TSLA share.

TSLA Stock Price Down on 7-16

TSLA Stock Price Down on 7-16

Archambault left a "neutral" rating on Tesla, even though the automaker just made it on the NASDAQ 100.

As Arcahmbault sees it, there are one of 3 scenarios likely to play out for Tesla.

  1. Tesla sell 105,000 vehicles at a 14.6 percent operating margin and earnings of $5.99 per share
  2. Tesla sells 150,000 vehicles at a 14.8 percent operating margin and earnings of $ 8.59 per share
  3. Tesla sell 200,000 vehicles at a 15.2 percent operating margin and earnings of $11.69 per share

Archambault averaged the 3 scenarios together to arrive at his $84 target price for Tesla.

The target price, which is well below TSLA's current value, caused what was one of the largest single-day declines in TSLA history.

What we find hard to believe is how the words of one individual can influence so many.

Source: Automotive News