Sales of Tesla’s (TSLA) Model 3 sedan in China plunged 64% in April vs March, according to new figures from the China Passenger Car Association (CPCA) CNBC reports.Specifically, Tesla sold 3,635 Model 3 cars in April, a significant decrease from the 10,160 vehicles sold in March. This means that Tesla has now sold 19,705 Model 3 cars in China since the beginning of the year.However, while sales fell, demand in China for electric vehicles rose. The country experienced a 9.8% increase in electric car sales from March to April, the CPCA found. The industry association also says that auto demand is now recovering following the coronavirus outbreak.On May 8 Tesla revealed that it secured a 4 billion yuan ($565M) lending line for continued expansion of production at the Gigafactory Shanghai.The plant is currently out of action, reportedly due to supply disruption, with Tesla stating on May 7: “Tesla Shanghai is adjusting to normal production due to test run[s] and maintenance of production lines that were carried out during the recent holidays.” Notably Tesla did not say when production would recommence, simply adding: “All work is being executed according to plan.”Merrill Lynch analyst Ming-Hsun Lee recently upgraded TSLA stock from hold to buy. “In March-April, [Chinese] auto demand at premium segment recovered faster than at mass-market,” Lee explained.However the majority of analysts present a cautious outlook on shares. The Hold consensus is based on 10 recent Hold ratings, 10 Sells and 7 Buys. With shares almost doubling year-to-date, the $627.40 average price target now translates into 23% downside potential from current levels. (See Tesla’s stock analysis on TipRanks)“While we recently raised our Tesla price target to $680, we believe the shares offer a risk/reward skew commensurate with an Equal-Weight rating relative to our sector at this time” Morgan Stanley’s Adam Jonas wrote on May 7.Related News: Uber Puts Hopes on Food Delivery Momentum After $2.9 Billion Loss Southwest Scores $815M With Sale-Leaseback of 20 Boeing Planes GM Ramps Up Coffers With $4 Billion Debt Sale, Plans New $2 Billion Credit Line More recent articles from Smarter Analyst: * AstraZeneca, Daiichi Get FDA Breakthrough Status For Gastro Cancer Drug * Solid Biosciences: Keep Your Eyes On The Prize Says Top Analyst * Columbian Carrier Avianca Files For Bankruptcy Protection Due to Coronavirus Woes * Seres Therapeutics Reports Weak Earnings, But Significant Upside Lies Ahead
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May.11 — Jun Bei Liu, portfolio manager at Tribeca Investment Partners, looks at how the coronavirus outbreak is affecting the global economy and stock markets, and shares her investment strategy. Federal Reserve Bank of Minneapolis President Neel Kashkari said Americans should brace for even more gut-wrenching news on unemployment amid the coronavirus pandemic. Liu speaks with Rishaad Salamat and Selina Wang on “Bloomberg Markets: Asia.”