Ives estimates that the opportunities in AI and autonomous driving are worth at least 1 trillion dollars for Tesla. Under the leadership of the Trump administration, these key initiatives will accelerate. In a bull market scenario, Tesla's stock price could soar to 650 dollars by the end of 2025, with a Market Cap reaching 2 trillion dollars.
$Tesla (TSLA.US)$The stock price has continued to rise recently, reaching an all-time high based on optimism about Tesla's "autonomous driving opportunities" and the Trump administration.
Overnight, Tesla's stock price surged more than 6% on Monday, closing above $463, with a cumulative rise of 18% over the past five trading days.
Since election day, Tesla's stock price has skyrocketed by 75%, and Wall Street analysts are re-evaluating the stock, with analysts from Deutsche Bank, Bank of America, and Morgan Stanley all raising Tesla's target price, while the latest Wedbush Securities 'die-hard bull' Dan Ives has significantly increased Tesla's target price.
In the latest research report, analyst Dan Ives raised Tesla's target price from $400 by 29% to $515. He stated:
We estimate that AI and autonomous driving opportunities are worth at least $1 trillion to Tesla, and we are fully confident that under the leadership of the Trump administration, these key initiatives will accelerate.
However, if Trump's momentum is stronger or develops faster than expected, Ives believes that in a 'bull market' scenario, Tesla's stock price could soar to $650 by 2025, representing a 49% increase from last Friday's closing price, which means the market cap could reach $2 trillion, up from about $1.5 trillion now.
Ives stated:
As Tesla's "autonomous driving vision" begins to take shape and with strong demand in the China market, the company will achieve rapid growth. The Cybercab autonomous taxi business is Tesla's "cash cow," which is currently planned to be launched in early 2026.
Previously, there have been some signs that Trump will promote the development of Full Self-Driving (FSD).
According to Bloomberg, Trump's transition team has informed advisors that they plan to make FSD or autonomous vehicles' "federal framework" one of the priorities for the Department of Transportation.
Reuters previously reported that Trump's team suggested the new government cancel the National Highway Traffic Safety Administration (NHTSA) requirement for Auto Manufacturers to report accidents involving autonomous driving systems, a move that is clearly favorable to Tesla.
Relaxing the introduction rules for autonomous vehicles, especially those without pedals or steering wheels, will greatly facilitate Tesla's development. Musk has repeatedly stated that the company's future depends on FSD and autonomous driving technology.
Editor/ping
