Many details around Tesla Inc.'s TSLA, -1.41% plan to go private remain "unknowable," given in part the "vague verbiage" used to describe it, and as a result "the deal is unlikely to succeed in the very near-term, if it succeeds at all," analysts at Piper Jaffray said in a note Wednesday. For the "true believers with a multi-year time horizon," the suggested go-private valuation is "unpalatable," and gaining shareholder approval easier than gaining funding, the analysts said. The Piper Jaffray analysts kept the equivalent of a buy rating with a price target of $389 on Tesla stock. Chief Executive Elon Musk stunned markets Tuesday saying he was considering taking Tesla private at $420, and analysts have decried the lack of specifics around the proposal. Tesla shares fell 1.2%, paring some of their earlier losses Wednesday.
Have breaking news sent to your inbox. Subscribe to MarketWatch's free Bulletin emails. Sign up here.