TSLA) is seeing strong momentum in the third quarter, according to Wedbush, which raised its price target for the electric vehicle stock this week.
Tesla shares and hiked the price target from $380 to $475.” data-reactid=”20″>The Tesla Analyst: Daniel Ives maintained a Neutral rating on Tesla shares and hiked the price target from $380 to $475.
China — a key market — is attributable to pent-up demand for Model 3s and recent price cuts, the analyst said.” data-reactid=”22″>The momentum in China — a key market — is attributable to pent-up demand for Model 3s and recent price cuts, the analyst said.
This has given Tesla an increased market share versus domestic competitors, he said.
Given that Model 3s sold in China carry a higher margin relative to those sold in the U.S. or Europe, Tesla is poised to see markedly higher profitability, Ives said.
China will account for over 40% of Tesla’s global sales by early 2022, the analyst said.
Wedbush updated its estimates to reflect a higher unit delivery trajectory for Tesla and a new share count in the wake of the recent stock split.
The sell-side firm raised its third-quarter unit deliveries forecast from 123,000 vehicles to 130,000 vehicles, comprising 117,000 Model 3 and Y vehicles and 13,000 Model S and X vehicles.
The firm raised its full-year deliveries forecast from 457,000 units to 470,000 units.
Wedbush also upwardly revised its 2021 deliveries estimate from 622,000 units to 680,000 units.
Latest Ratings for TSLA
| Date | Firm | Action | From | To |
|---|---|---|---|---|
| Sep 2020 | Wedbush | Maintains | Neutral | |
| Sep 2020 | Piper Sandler | Maintains | Overweight | |
| Sep 2020 | Deutsche Bank | Maintains | Hold |
View the Latest Analyst Ratings” data-reactid=”42″>View More Analyst Ratings for TSLA
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