According to Barron‘s, analysts at Deutsche Bank have upped their price target for Tesla stock to $1,200 USD per share from $1,000 USD, saying that the global shift to electric vehicles (EVs) could help “extend Tesla’s EV lead considerably” as we move towards 2025 and 2030 deadlines for much of the world’s emissions reduction goals.
“Tesla’s trajectory for its battery technology, capacity and especially cost could help accelerate the world’s shift to electric vehicles and extend Tesla’s EV lead considerably,” said Deutsche Bank in a note dated Friday, reaffirming its Buy rating on the company’s stock.
The analysts at Deutsche Bank say 2022 could prove to be a “pivotal year for Tesla’s future growth and profitability,” especially considering the production of both existing and upcoming models is expected to swell with two new manufacturing facilities, Gigafactory Berlin and Gigafactory Texas, going online sometime this year.
Deutsche Bank raised its projections for Tesla’s fourth-quarter deliveries from 268,000 to 282,000 units after reports of the company delivering a whopping 70,500 vehicles in China during December started surfacing. The institution expects Tesla to post $16.1 billion USD in revenue for the fourth quarter, along with $2.46 USD in per-share earnings.
As for 2022, Deutsche Bank forecasts 1.47 million deliveries “with further upside potential depending on chip availability.” The latest estimates have Tesla delivering 900,000 cars in 2021.
In comparison to Deutsche Bank’s price target, Wedbush analysts have price targets of $1,400 USD and a bull case of $1,800 USD for Tesla, while Piper Sandler has modelled for a price target of $1,300 USD.
Tesla stock closed at $1,056.78 USD per share on Friday and has seen gains of 49.7% in the past year.
