Wedbush Securities analyst Dan Ives has revised his price targets for Apple and Tesla, citing concerns over President Trump’s tariffs, which may disrupt both companies’ operations. In a warning note issued over the weekend, Ives stated, “The tariff economic Armageddon unleashed by Trump is a complete disaster for Apple given its massive exposure to production in China.” He emphasized that Apple is particularly vulnerable, with 90% of iPhones being produced and assembled in China.
As a result, Wedbush has lowered its price target for Apple stock by $75, setting it at $250 per share. Following this announcement, Apple’s shares dropped by 4.3% and were trading at $180 in the afternoon.
Ives also decreased his target for Tesla, revising it from $550 to $315, which remains significantly higher than Tesla’s current share price of $233.94 as of 2:10 p.m. ET. He indicated that the impact of tariffs is not the sole reason for the price adjustment; he also pointed to CEO Elon Musk’s political affiliations, which he argues have led to a crisis for the brand. Musk’s ties to Trump and his tariff policies are reportedly affecting sales in both the U.S. and Europe, while also jeopardizing Tesla’s standing in China, where consumers may increasingly opt for domestic brands like BYD.
“Tesla has essentially become a political symbol globally,” Ives wrote, urging Musk to take responsibility, assess the current climate, and demonstrate leadership during this period of uncertainty.
By Monday afternoon, Tesla shares had experienced a near 10% decline from Friday’s closing price but had started to recover somewhat.
