Tesla Inc.'s stock (TSLA) has "room to run further" to $1,000 and possibly much higher, said Wedbush analyst Dan Ives, given his belief that demand in China for Model 3's are ramping stronger than expected and the potential for "game changing" battery developments. Ives reiterated his neutral rating on the electric car maker, but raised his base price target to $1,000 from $800, while boosting his "bull case" target to $1,500 from $1,350. The average price target of the 33 analysts surveyed by FactSet is $678.23. The stock, which eased 0.1% in premarket trading, lost 1.0% on Tuesday after closing at a record $949.92 on Monday. "We believe that the China growth story is worth at least $300 per share to Tesla as this EV penetration is set to ramp significantly over the next 12 to 18 months," Ives wrote in a note to clients. "Looking ahead, we believe [Chief Executive Elon Musk] are slated to announce a number of new potential "game changing" battery developments at its highly anticipated Battery Day." The battery day has been delayed given the COVID-19 pandemic, with some reports suggesting it could take place as a live event later this summer. The stock has more than doubled (up 124.9%) year to date through Tuesday, while the S&P 500 has lost 0.7%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
June 10, 2020 07:00 ET (11:00 GMT)
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