Wedbush analyst Dan Ives has raised Tesla’s price target to $550, up from $515, citing strong confidence in the company’s growth potential through 2025. The firm also maintains a bullish case price target of $650.
Ives expressed optimism for Tesla’s autonomous and AI initiatives, noting that regulatory support under the Trump administration could be a “game changer” for the company. He believes that Tesla’s autonomous vision will align with robust vehicle delivery demand, particularly in the Chinese market, which could potentially lead to a $2 trillion market cap by 2025.
Tesla recently unveiled a new Model Y in China, which has become the world’s bestselling car. Despite a 1.4% decrease in TSLA shares for the day, the current market cap stands at $1.35 trillion. To reach a $2 trillion market cap, shares of Tesla would need to reach approximately $624. Over the past year, Tesla’s shares have increased by 100%, with a 10% increase year-to-date and a 91% increase in the past three months.
The analysis also highlights Tesla’s Optimus project as a significant upside catalyst, although its value is not currently factored into the price target. Ives anticipates further positive updates from Tesla during its upcoming earnings call.
In a recent statement, JP Morgan CEO Jamie Dimon praised Elon Musk, referring to him as “our Einstein.” Dimon expressed admiration for Musk’s work at companies like SpaceX, Tesla, and Neuralink, stating that he would like to be as helpful as possible to Musk and his companies.
Overall, Tesla’s future continues to look promising, with analysts and industry experts expressing confidence in the company’s growth trajectory and innovative initiatives. Elon Musk’s leadership and vision are seen as key drivers of Tesla’s success, with the potential for even more positive developments on the horizon.