December 1, 2023

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Tesla stock rally snaps; Analysts indicate that it may be recharging over long distances

Tesla stock rally snaps;  Analysts indicate that it may be recharging over long distances

Tesla (TSLAIt looks like the stock is going to pause after 13 straight advances, but analysts expect shares to rally this year, buoyed by the EV giant’s recent supercharger partnerships with general motors (GM) And stronghold (F).


The TSLA fell early but rose slightly to 257.13 on Thursday as the market traded. On Wednesday, Tesla fell 0.74% to 256.79, ending its 13th consecutive winning streak. Shares are up 137% in 2023 and up nearly 26% in June. However, Tesla stock is down about 38% from the all-time high of 414 it hit in November 2021.

RBC Capital analyst Tom Narayan on Thursday morning raised the company’s price target on Tesla stock to 305, up from 212. The target is 19% above where shares closed Wednesday. Narayan maintains an “Outperform” rating on TSLA.

The analyst cited Tesla’s full self-driving (FSD) capabilities and “automated hub” plan. Narayan wrote Thursday that he “conservatively” estimates Tesla robotaxi penetration at 25% in the US, driven by the shift of consumers away from private car ownership.

Meanwhile, General Motors and Ford recently reached agreements with Tesla for access to the supercharger network.

Tesla has built an “EV fortress with a supercharger network, battery technology and an FSD software ecosystem that is globally unmatched by any other auto operator,” Wedbush analyst Daniel Ives, an old Tesla bull, told investors late Wednesday. .”

Tesla stock

Ives also maintained an “Outperform” rating and 300 price target for Tesla stock.

“Tesla’s latest increase is an acknowledgment from Wall Street that, through the Ford and GM supercharger partnerships, it is now finally beginning to benefit from Tesla’s parts-to-parts valuation,” Ives said.

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The Wedbush analyst estimates that Ford and GM together could add about $3 billion in EV charging services revenue for Tesla over the coming years.

TSLA jumped more than 5% this week, but it appears to be pausing.

Tesla stock has now extended nicely past 207.79 buy points from any double bottom cup or base. The stock is over 30% above the 200-day/40-week moving average. This is the most extended since the stock peaked in November 2021.

Meanwhile, Tesla appears to be trying to move inventory of the Model 3. On Wednesday, the EV giant began offering customers who order the Model 3 between June 14 and June 30 three months of free, unlimited Supercharge, according to the company’s website. Internet.

Tesla ranks third in IBD Automotive Group. It has a composite rating of 98 out of 99. Tesla stock has a 90 relative strength rating and an EPS rating of 93 out of 99.

Please follow Kit Norton on Twitter @employee for more coverage.

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