JPMorgan Chase: Tesla and SpaceX merger faces regulatory and governance barriers

Morgan Stanley analyst Rajat Gupta stated that the merger of Tesla and SpaceX faces obstacles such as regulatory approvals from multiple jurisdictions, governance, and symmetrical voting rights, and it is believed that the merger will be led by SpaceX. Morgan Stanley believes that if the transaction occurs, the most likely structure is for SpaceX to acquire Tesla in an all stock manner. Rajat Gupta has a neutral rating for Tesla with a target price of $475.