Investors 'nervous' About Tesla Earnings: Morgan Stanley

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Most of the sentiment around Tesla Motors Inc. earnings is "nervous/cautious," analysts at Morgan Stanley said in a note Wednesday. "We've never had more incoming queries ahead of a [Tesla] quarter than we've had over the past week," the analysts, led by Adam Jonas, said. "We are prepared to buy the dip," they added. Volumes for Tesla's Model S sedan could be under pressure in the U.S., they said. Some of the reasons include Tesla getting closer to launching its SUV, the Model X, and tough prior-year comparisons, since last year Model S deliveries were ramping up, the analysts added. Morgan Stanley holds one of the top price targets on Tesla Motors Inc. stock ($320) and are known to be optimistic about the company. They rate Tesla overweight. The electric car maker is scheduled to report third-quarter earnings after the bell, and analysts polled by FactSet expect a loss of 1 cent after one-off items.

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