Tesla: Should You Sell After Goldman’s Downgrade?

Earlier today, we noted that Goldman Sachs analyst David Tamberrino had cut Tesla ( TSLA ) to Sell from Neutral, arguing that the Model 3 launch, solar business, and its need for cash skewed the risk to the downside . Should investors take their advice? Possibly, says the folks at Bespoke Investment Group , but not because of the Goldman Sachs downgrade. See, the firm has a history of upgrading the stock when it rallies and downgrading on pullbacks, something that hasn't worked out too well for investors in the past. "Given their history on the name, we definitely wouldn’t be hitting the “sell” button based solely on the Goldman downgrade," Bespoke says. But that doesn't mean that you should be buying Tesla's shares either. Bespoke explains why: