From Barron's December 2:
On Sunday, Stifel analyst Stephen Gengaro raised his Tesla stock price target to $411 from $287. He kept his Buy rating.
Tesla stock rose to start a new week of trading. A couple of things were helping and both are about the same thing: Self-driving cars.
Shares of the electric-vehicle maker were up 3.3% early Monday at $356.56 each, while the S&P 500 and Dow Jones Industrial Average were up 0.2% and 0.1%, respectively. Closing at that level would be a new 52-week high for the stock.
The EV maker is getting a lift from several areas. For starters, there is Wall Street. On Sunday, Stifel analyst Stephen Gengaro raised his price target on Tesla stock to $411 from $287. He kept his Buy rating.
“We believe buying Tesla shares requires vision and patience, and the willingness to accept volatility,” wrote Gengaro. He isn’t wrong. Tesla stock is notoriously volatile. Coming into Monday trading, shares were up about 37% since the Nov. 5 election, accounting for almost all of the year-to-date gains.
The move is despite no change in 2025 earnings estimates. Investors are banking on CEO Elon Musk’s closeness to President-elect Donald Trump benefiting the EV maker. One way it could is if a federal standard were introduced to regulate self-driving cars, which would smooth the introduction of robotaxi services. Tesla plans to launch a self-driving robotaxi service in late 2025.
“While we have confidence in Tesla’s Auto business, the significant value creation potential from its AI-based full self-driving capabilities and Cybercab (Robotaxi) underpin our positive outlook,” added Gengaro.
His target price is now the highest on Wall Street, according to FactSet, valuing Tesla stock at about $1.3 trillion.
Along with Gengaro’s boost, Roth analyst Craig Irwin upgraded Tesla shares to Buy from Hold. His price target went to $380 from $85. The $295 difference is worth about $950 billion of market value....
....MUCH MORE
This follows some nice words from Dan Ives at Wedbush last week (MarketWatch):
Tesla has a $1 trillion opportunity in AI and self-driving, and the ‘first buddy’ relationship between Musk and Trump could fast-track it
Elsewhere in Muskland, Axios, December 1: "Scoop: Fidelity marks up the value of its stake in Elon Musk's X"
That is the first major up-mark we've seen since eXtwitter went private.
Elon overpaid by $20 25 billion. And then with the user exodus and advertiser boycott the remaining valuation was cut in half -again. Someday if I'm in a good mood I'll tell the story.
For what it's worth Disney is back on the platform after leaving in a huff.
The huff instigation: Elon Musk Says Bob Iger, the Disney CEO He Publicly Told to “Fuck Yourself,” Should Be “Fired Immediately”
