Widely followed analyst Adam Jonas took some guesses at what the big announcement from Tesla will be on Thursday afternoon.
changed his Twitter display name to “Elon Tusk” and promised his electric car maker would have “news” at 5 p.m. ET Thursday.
The company is due to repay a $920 million convertible bond on Friday as Tesla keeps piling up debt while ramping up production of its popular Model 3 sedan. An analyst report on Thursday said Tesla is lining up about $2 billion in loans to build its factory in Shanghai.
Jonas said Tesla “may be fundamentally overvalued,” but he kept his equal-weight rating and noted that the stock is trading just above his $238 target.
Shares of Tesla are up 0.6 percent in midday trading Thursday.
If the announcement is about a strategic partnership, Jonas said, it could “help share the burden of future expenses, improve access to capital, and potentially ‘attach’ Tesla’s network of data capturing machines to a mega-platform/software layer.”
— With reporting by