Analyst Daniel Ives of Wedbush maintained a Buy rating on Tesla, retaining the price target of $500.00.
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Daniel Ives’s rating is based on several strategic moves by Tesla to ensure its continued leadership in the automotive and AI sectors. The introduction of a new CEO incentive package for Elon Musk is a crucial factor, as it aims to retain his leadership by tying his compensation to ambitious financial and operational milestones. These include achieving significant market cap targets and advancing Tesla’s capabilities in AI and robotics, such as deploying 1 million robotaxis and Optimus robots.
Moreover, the proposed strategic investment in xAI is expected to bolster Tesla’s AI capabilities, positioning it as a leading player in the AI revolution. This aligns with Tesla’s broader goals of expanding its product offerings and maintaining its competitive edge. Ives believes that these initiatives, along with Musk’s continued leadership, are critical for Tesla’s growth and justify the Buy rating.
According to TipRanks, Ives is a 5-star analyst with an average return of 9.6% and a 51.30% success rate. Ives covers the Technology sector, focusing on stocks such as Apple, Palantir Technologies, and Microsoft.
In another report released on August 29, Piper Sandler also reiterated a Buy rating on the stock with a $400.00 price target.