Tesla (TSLA) has actually received a brand-new $1,200 Wall Street-high price target, its 4th in a month, for going after a number of multitrillion-dollar markets.
The automaker is more than a car manufacturer.
Tesla (TSLA) stock
Tesla’s stock has actually been on an extraordinary surge over the last year– reaching new all-time highs on a number of celebrations over the last few months.
It pressed the car manufacturer’s evaluation over $800 billion prior to drawing back in the last week.
The performance and catalysts pushing that performance are making analysts play catchup and updating their assessment models for the car manufacturer and launching brand-new price targets.
Last month, we reported on Tesla (TSLA) getting a new Wall Street-high price of $810 per share from Morgan Stanley.
That price target was quickly beaten by Wedbush expert Dan Ives just a week later with a $950 cost target, but it didn’t stand at the highest target for long.
Oppenheimer analyst Colin Rusch quickly redefined what it requires a top Tesla bull on Wall Street with a brand-new rate target of $1,036 per share.
And now he is not even leading bull anymore.
4th TSLA Wall Street-high cost target
Piper Sandler analyst Alexander Potter joined his peers in reevaluating his position on Tesla’s stock following the rise and decided to more than double his price target to a brand-new Wall Street-high of $1,200.
In a new note to clients today, the expert suggests not to take profit on TSLA regardless of a 10x return and instead suggested to take a look at all the different markets Tesla is targeting:
To defend our new price target of $1,200, we are publishing a 100+ page report entitled “The Conclusive Guide to Investing in Tesla.” While it is more exhaustive than anything we have released to date, even our expanded model does not capture all possible profits streams. Certainly, with Tesla’s target markets still embracing outdated business designs, it may be decades before this company lacks brand-new chances to pursue.
The analyst is getting on board with an idea that Tesla financiers have been pushing for a while: Tesla is more than a car business.
Potter composed in the report:
There will always be new levers for development. Some may scoff at our generous assumptions re: TSLA’s long-term potential, however consider this: our model does not contemplate Tesla’s eventual entry into the A/C or auto insurance coverage markets, both of which represent numerous billions in market-wide revenue. Our forecast of peak lorry production (9M units/year) is also materially listed below Tesla’s own aspirations, based on capacity plans outlined at Battery Day. Plus we might be under-modeling Tesla’s solar income, as well as “Autobidder” and other chances in the Energy sector (these organizations are still nascent).
On top of it, as the analyst acknowledges, his own forecasts are in fact far listed below Tesla’s own projections.
In the short term, Potter is also being more conservative than many Tesla bulls.
The analyst anticipates 894,000 car deliveries in 2021, which most Tesla bulls would state remains in the lower range of the possibilities.
Alexander Potter is among the top-ranked (ranked # 266 out of 7,248 experts) on TipRanks with a success rate of 54% and a typical return of 37%.
FTC: We use income earning vehicle affiliate links. More.
Subscribe to Electrek on YouTube for unique videos and subscribe to the podcast.