NEW YORK (TheStreet) -- Shares of electric carmaker Tesla Motors (TSLA) are pointing toward a higher open after research firm Jefferies raised its price target on the stock in a note to investors this morning.
WHAT'S NEW: Jefferies analyst Dan Dolev raised his price target for Tesla shares to $360 from $350 after surveying 145 owners of the company's electric cars. On average, owners were willing to pay 60% more for a Tesla, which suggests a much larger total addressable market when the lower priced Model III is introduced in 2017, Dolev tells investors this morning in his note. Further, the survey highlighted "exceptional" brand loyalty, with 85% noting that their next car would be a Tesla, the analyst writes. Dolev upped his 2020 production estimate to 515,000 cars from 500,000 and keeps a Buy rating on Tesla.
PRICE ACTION: Tesla shares closed yesterday down $2.50 to $265.17. In pre-market trading, the stock rose about 1% to $267.87.