Deutsche Bank downgrades Polestar Automotive target price to $1

Summary

Deutsche Bank has lowered its target price for Polestar Automotive to $1 from $1.5, reflecting significant concerns about the company’s financial health and competitive position in the EV market.USHK News+ 3

Impact Analysis

So basically, Deutsche Bank’s move to slash Polestar’s target price to $1 is a stark warning about the company’s precarious situation. The ‘going concern’ warning and massive losses underscore the financial strain Polestar is under, with a $1.13 billion loss reported for the first half of 2025 despite revenue growth.247wallst+ 2 The timing of this downgrade coincides with Polestar’s struggles to maintain competitiveness in a rapidly evolving EV market, where consumer preferences are shifting towards more affordable options.247wallst The market seems to be missing the severity of Polestar’s financial distress, as technical indicators still show some bullish sentiment, albeit with weak fundamentals. The trade here might be to short Polestar, given the high execution risks and the lack of strong buy recommendations. Watch for any strategic shifts or partnerships that could alter this bleak outlook.