Tesla stock drops 2.7% following Goldman Sachs prediction

Electric car manufacturer Tesla may need as much as US$10bn in additional capital by 2020 to fund the company's operations, according to investment bank Goldman Sachs.

Capital transactions may be funded a number of ways, among them being “new bond offers, convertible notes, and equity,” says Goldman Sachs analyst David Tamberrino, adding that he believes that Tesla’s share price will fall some 30% over the next six months to US$195.

The company’s share price on NASDAQ dropped 2.71% on Friday to US$277. Tesla has declined to comment on the matter.