Tesla stock was dropping early Tuesday after falling in the previous session as investors considered tariffs, weak Chinese sales data, and the impact of a “buyers strike” on the electric-vehicle maker.

The backlash against the electric vehicle company has intensified as the billionaire ally of President Trump exerts his power over the federal government.

Elon Musk's car company is required each year to report to investors all the bad things that could happen to it, and the latest version lists every imaginable threat from costly lawsuits to out-of-control battery fires to war and another epidemic.

Morgan Stanley analyst Adam Jonas has backed struggling electric vehicle maker Tesla (TSLA) and indicated the stock could have as much as 50%

Key Takeaways Tesla was named the "Top Pick" for U.S. auto firms by Morgan Stanley, which pointed to the EV maker's moves into AI and robotics.Morgan Stanley has an "overweight" rating and $430 price target for Tesla.

Tesla (NASDAQ:TSLA) is still a top pick at Morgan Stanley despite recent softening sales trends. Analyst Adam Jonas thinks Tesla's (NASDAQ:TSLA) softer auto deliveries are emblematic of a company in the transition from an automotive pure play to a highly diversified play on AI and robotics.