Morgan Stanley Designates Tesla Stock as its Top Choice in the Auto Sector

Morgan Stanley analyst Adam Jonas reaffirmed an Overweight rating and $310 price target on Tesla shares. The firm named Tesla its “New Top Pick” in the U.S. automotive sector. Tesla’s cost-cutting measures and restructuring efforts have mitigated downside risks. Second-quarter results were close to expectations, excluding charges. Tesla recognized over $0.6 billion in restructuring charges. The company is lowering its breakeven point and generating positive cash flow. CEO Elon Musk hinted at a flying Roadster model and announced a delay in the Robotaxi event. Tesla continues to focus on EVs over traditional auto manufacturing.