Shares of electronic car company Tesla Motors Inc. (TSLA) dipped lower Tuesday after the short seller who took on Valeant Pharmaceuticals predicted the stock would fall to $100 a share by the end of the year.
Citron Research, a research firm associated with short seller Andrew Left, tweeted that Tesla could run into problems both delivering and receiving orders in the coming months.
Shares of the electric car company, run by Silicon Valley rock star Elon Musk, closed down 2.9% to $186.35 a share as a result. The stock is down 6.6% over the last 12 months.
“Citron shorting $TSLA Supply AND demand problems should take down to $100 by years end. News flow all around does not look good for stock,” the research firm tweeted Tuesday.
Tesla, which has suffered from production problems in the past, now faces added concerns that sales could suffer from rock-bottom gas prices, as well as a slowing economy in China.
Last month Musk seemed to assuage these concerns with a promise of “positive net cash flow” and “non-GAAP profitability” by the end of 2016. He also forecast deliveries of between 80,000 and 90,000 new Model S and Model X vehicles this year — up from 50,000 planned deliveries last year.