Tesla: Morgan Stanley raises its target

(CercleFinance.com) - Morgan Stanley on Monday raised its price target for Tesla from $400 to $430, while renewing its 'overweight' recommendation on the stock.


According to the analyst, Wall Street is increasingly beginning to realize just how crucial AI-related functionalities are set to play in the highly competitive electric vehicle market.

Given Tesla's recent stock market rally, Morgan Stanley believes that investors seem to have a better understanding of the group's advantages in data, robotics, energy storage, AI, manufacturing and infrastructure, not to mention the synergies potentially associated with Elon Musk's other companies, such as SpaceX or xAI.

Even so, the research firm expects the financial community to become fully aware this year of Tesla's unique combination of expertise, over and above the current difficulties in the electric vehicle market, a factor which it believes should enable its multiples to continue to rise.

With the favorable AI theme, his bull case price target has been raised to $800, from $600 previously, with the stock remaining one of his current top picks.

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