Tesla shares rose after Bank of America analysts set a new price target of $400, making it one of the highest on Wall Street. The analysts maintained a “buy” rating and attributed the optimism to various opportunities in Tesla’s core EV business, robotaxis, robotics, software, and charging. This takes Tesla’s stock up roughly 50% for the year, leaving it just below its 2024 highs.
Bank of America expects Tesla to efficiently deploy capital but suggests that raising funds may be necessary to accelerate technology development. The company has demonstrated strong organic cash generation, but analysts believe there may come a time when it makes sense to raise capital to support further growth.
Source: https://www.investopedia.com/another-usd400-price-target-is-lifting-tesla-stock-today-8756799