The electric vehicle industry has been buzzing with excitement lately, especially when it comes to Tesla. Wall Street analysts are taking notice of the company’s potential, with Wedbush Securities analyst Dan Ives recently raising his price target for Tesla to $600, up from his previous target of $500 set in May. Ives is now forecasting a potential $3 trillion market cap for Tesla by late 2026, citing an accelerated AI autonomous path that he believes is on the horizon.
As of now, Tesla’s stock is trading at around $437, giving the company a market valuation of $1.37 trillion. Ives believes that investors are underestimating the major transformation underway at Tesla, particularly in the realm of autonomous driving and robotics. He expects the Robotaxi service to be rolled out in more than 30 U.S. cities over the next year, with the autonomy and robotics opportunity alone being worth at least $1 trillion for the company.
In addition to Ives’ bullish outlook, other firms are also showing increased optimism towards Tesla. Deutsche Bank has raised its price target to $435, citing Elon Musk’s renewed focus on robotaxis and the Optimus humanoid robot. Musk’s recent $1 trillion compensation package proposal, which shareholders will vote on in November, has also helped remove a major overhang on the stock.
Piper Sandler analyst Alex Potter has also raised his Tesla price target to $500 from $400, following a trip to China that showcased Tesla’s competitive edge in real-world AI and vehicle autonomy over higher-volume Chinese rivals. Tesla’s stock momentum received a further boost when Musk purchased $1 billion worth of shares on the open market a couple of weeks ago, signaling confidence in the company’s future.
Overall, it’s clear that Tesla is at the forefront of innovation in the electric vehicle industry, with analysts and investors alike showing increasing confidence in the company’s future prospects. As Tesla continues to push boundaries and disrupt the automotive industry, its stock price and market valuation are likely to reflect the company’s ongoing success.