Monday, March 22, 2021

Tesla to the Moon ?

On Friday, Cathie Wood’s Ark Investments released a $3k price target on Tesla by 2025. Ambitious, right?

With $TSLA trading at a current price of $654, Elon’s company would be worth ~ $3 trillion, based on the number of shares outstanding.

Ark predicts a 50% chance that Tesla will achieve fully autonomous driving within the next 5 years. A fully autonomous fleet of cars may allow Tesla to expand its planned robotaxi service. 

As stated by Ark’s new model, Tesla could reach $4,000 by 2025 in the best case, and $1,500 in the bear case. Ark projects Tesla’s unit sales to be between 5 million and 10 million vehicles in 2025, assuming increased capital efficiency.

The $3,000 target is much higher than any analyst who covers the company, the next highest target is $1,200…

Is Cathie’s price projection overly optimistic or will Tesla reach $3k? Place your bets...