HSBC has significantly lowered its target stock price for Tesla over the next 12 months from $133 to $119, maintaining a "Sell" rating, and predicts a potential downside of 70% from the current level of nearly $381. The bank pointed out that ongoing concerns include: the decline of the brand in Europe, market share being eroded by BYD (which is expected to sell 2.26 million electric vehicles in 2025), and Tesla's full self-driving technology facing challenges amid an NHTSA investigation into 3.2 million vehicles. Tesla's automotive revenue in Q4 2025 declined 11% year-over-year, net operating profit dropped over 35%, and deliveries have decreased for the second consecutive year.