Wall Street analysts are releasing new price targets for Tesla, with the latest coming from New Street and Global Equities.
Global Equities Research analyst Trip Chowdhry’s latest research note has upped Tesla’s price target from $1,200 to $1,500, while maintaining an overweight rating (via @SawyerMerritt). According to Chowdhry, he sees Tesla as a technology company that has “only scratched the surface.”
Chowdhry sees extremely strong production, shipping and delivery activity for Q1 2022, stronger than the previous record quarter, while also noting Model S and X demand “is extremely strong”. The analyst sees Tesla’s Autopilot advance and price increase as a positive sign, along with the company’s “profit center”, Superchargers. Tesla also will see lower operating costs with its new headquarters in Texas versus California and Gigafactory Shanghai continues to improve the company’s margins.
New Street analyst Pierre Ferragu reiterated his buy rating on Tesla at $1,580 per share (via @SawyerMerritt), noting he expects margins to expand based on recent price increases, potentially allowing the company to see gross margins exceed 30% in 2022.
Ferragu expects capacity to ramp up once Giga Texas and Berlin go online, while he believes Giga Shanghai will see production go beyond 800,000 cars per year. Tesla has a total production rate of possibly 1.8 million cars by the end of 2022, says the analyst.
“We expect auto revenues to exceed $80 billion this year and drive over 40% revision on expectations for upcoming years, with likely more to come beyond 2022,” said Ferragu.
Other Tesla price targets recently released by analysts in 2022:
Shares of TSLA are currently trading at $1,106 per share on Wednesday afternoon, up 4% for the day.
