Skip to content

Tesla Motors’ Bull Run Could Be Looming Nearby

A charismatic CEO and a global reputation for popular electric cars could drive the price of Tesla Motors (NASDAQ: TSLA) some more. The company is busy building a strong bull run for its stockholders.

In the last six months, Tesla’s share price has increased over 3x. The company has managed to show profitability in 4 of the past six quarters. Its new Gigafactory in China and its Model Y launch could help them company rise further.

The company’s stock has doubled YTD after starting at $430 on January 1. On Tuesday, the price jumped over 7% to reach over $858.

Tesla (TSLA) stock price on a daily chart, as of February 18, 2020. data.

Analysts weigh in on the stock

Wall Street heavyweight Morgan Stanley recently hiked its bull case scenario for Tesla from $650 to $1,200 per share. This optimistic view of the company suggests that stocks could jump about 50% from its current levels.

Even with this bull case hike, analysts still believe that the company’s stock will most likely fall. It still rates Tesla an “underweight” and has raised the base price target from $360 to $500.

They also point towards a challenging Q1 for the company, as the company may make lower than expected vehicle deliveries with a quarterly loss of $440 million.

Bernstein analysts have opposing views. According to analyst Toni Sacconaghi, the company doesn’t have any imminent negative catalysts insight.

He doubled his price target from $325 to $730, suggesting that Tesla is the ultimate “possibility” stock. Though traditional valuation methods do not justify Tesla’s meteoric rise, he thinks the company could go on to become more prominent than Volkswagen.

Tesla continues to wow

Recently, Elon Musk tweeted that the new Model S built in recent months will provide a staggering 390-mile range to users. The Model X variants will also get a strong range push at 351 miles.

The range will be unlocked with a free software upgrade. Interestingly, Musk said that they were eyeing a 380-mile range during the company’s Q4 conference call just a few days ago.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in 70+ cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10.

  • Copy top-performing traders in real time, automatically.

  • Regulated by financial authorities including FCA and FINRA.

2.8 Million Users
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. eToro USA LLC does not offer CFDs, only real Crypto assets available. Don’t invest unless you’re prepared to lose all the money you invest.

Read Next:

Weekly Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts