Summary
Tesla stock has surged over 26% in the past five days, with analysts from Morgan Stanley and Wedbush saying that the company’s mojo is back.
Wedbush has raised its price target for Tesla from $275 to $300, citing a “major turning point” in the Tesla bull case after the company beat delivery expectations for Q2.
Analyst Dan Ives believes that Tesla is the most undervalued AI play in the market, with a potential value of $1 trillion driven by solving autonomy and full self-driving capabilities.
The Wedbush bull case for Tesla stock has been upgraded to $400, contingent on the company achieving autonomy and FSD capabilities.
Despite concerns about delivery reductions and a choppy start to 2024, Wedbush maintains an ‘Outperform’ rating on Tesla and believes the worst is behind the company as it moves towards autonomy and a future with Robotaxi.
Article
Tesla stock has seen a significant increase in value over the past five days, with shares rising by over 26 percent. This surge comes after the company beat delivery expectations for Q2 and potentially strong figures from its energy division. Analysts from both Morgan Stanley and Wedbush are optimistic about Tesla’s future, with Wedbush raising its price target to $300 from $275, citing a “major turning point” in the Tesla bull case.
Wedbush analyst Dan Ives believes that Tesla’s recent stock explosion is driven by the company being perceived as the most undervalued AI play in the market, especially as Robotaxi Day approaches on August 8th. He sees the potential for Tesla to reach a valuation of $1 trillion based on its advancements in autonomy and Full Self-Driving technology. Despite a choppy start to 2024, Ives remains bullish on Tesla and believes that the company’s long-term prospects are promising.
Wedbush has also upgraded its bull case for Tesla stock to $400, with a focus on the company’s ability to solve autonomy and FSD. This could drive Tesla back to a valuation of $1 trillion and position it as more of an AI and robotics play rather than a traditional car company. Ives believes that Tesla’s stock is undervalued and sees August 8th as a key linchpin day for the company’s future growth and success.
While there are still concerns about year-over-year delivery reductions, Tesla is working towards debunking this theory with its narrative of being “between two waves of growth.” The company will need to execute on its next-gen platform and Robotaxi plans to address these concerns and maintain investor confidence. With Elon Musk’s pay package dilemma resolved and some growth seen in Q1, investors are becoming more optimistic about Tesla’s prospects moving forward.
Wedbush has maintained its ‘Outperform’ rating for Tesla and raised its price target to $300, reflecting the firm’s positive outlook on the company’s future performance. Analysts believe that Tesla is well positioned to capitalize on its advancements in autonomy and AI technology, driving the stock price higher in the coming months. Despite challenges and uncertainties, Tesla’s recent success and potential for future growth have bolstered investor confidence in the company’s long-term prospects.
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