Tesla gets a new summary and price target that investors will be happy to hear

Tesla shares (NASDAQ: TSLA) got a new roundup from a Wall Street firm today that investors will be happy to hear as the stock continues its meteoric rise since the presidential election.

Baird analyst Ben Kallo continued to represent the bullish sentiment that many analysts have been pushing for the electric vehicle maker’s stock over the past month and a half as Tesla continues to gain value due to the catalysts it has for the future as President-elect Donald Trump will take over the elected House in January.

Kallo said in a note to investors on Tuesday that the company has “several upcoming potential catalysts” and that Baird “likes the stock long-term.”

The note also came with an increased price target of $480 from $280. Kallo also reiterated his “outperform” rating on Tesla shares.

The analyst recommends investors buy “particularly during pullbacks,” especially considering the company has several things that could help the stock rise higher in the future.

Photo credit: Tesla

Kallo specifically mentions several things, including:

• The introduction of new vehicles will help increase volumes
• Repeal of electric vehicle tax credit by Trump White House
  • While this might be negative across the board, it would be positive for Tesla as it would hurt competitors more than them
• Production costs continue to fall
  • Tesla is profitable on every vehicle it builds, including Cybertruck, which achieved positive gross margin in less than a year
• Expansion into new markets
  • Tesla is specifically targeting new markets in Asia and South America
• Growth in the energy sector
  • Many forget that Tesla is more than just a car company and that its performance as an energy provider in 2024 has never been better
• Full approval for autonomous driving in new markets
• Tesla Optimus robot
  • Tesla says it will begin using these robots widely in its factories in the coming years

There are also several things that Kallo and Baird list as potential weaknesses, including the company’s valuation, potentially “lumpy” sales when new vehicles are introduced, robotaxi delays and accidents frequently mentioned in the mainstream media, and the possibility of that the removal of the electric vehicle tax credit could be a bigger detriment than expected.

Tesla shares were down just over 1 percent on the East Coast as of 10:20 a.m. and are trading at around $474.30.

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Tesla gets a new summary and price target that investors will be happy to hear