That's Wedbush Securities analyst Daniel Ives's 'bull case' scenario for the electric car company as strong demand for Tesla's globally continues coupled with the company's inclusion in the S&P 500 drives the stock higher.
Tesla traded higher on Monday after the electric carmaker received the upgrade from Ives, who lifted his one-year price target to $560 from $500 and said his new bull case is $1,000, up from $800.
In a note to clients, Ives said Tesla was likely to achieve its goal of 1 million deliveries by 2023 or possibly sooner. The influential analyst also said that with Tesla’s sustained path to profitability and S&P 500 index inclusion achieved, “the Tesla bull story is now all about a stepped up EV demand trajectory into 2021.
Ives’ accolades follow Standard & Poor’s announcement last week that the electric carmaker will join the S&P 500 on Dec. 21, a move that had been anticipated for months as Tesla has surprised Wall Street with better-than-expected earnings and sales, which in turn has driven its valuation to new heights.
The move prompted several Wall Street analysts to re-evaluate their longer-term expectations of Tesla, including Morgan Stanley analyst Adam Jones, who raised Tesla to overweight for the first time in more than three years last week.