Wedbush analysts believe Tesla’s upcoming “AI Day” on August 8th could be a pivotal moment, potentially driving its stock towards a $1 trillion market cap. The firm maintained an Outperform rating and a $275 price target on Tesla stock.
“We believe the August 8th robotaxi day will be a key historical moment for the Tesla story that we see as a near-term catalyst,” Wedbush stated, citing recent advancements in Full Self-Driving (FSD) technology and the upcoming unveiling of Tesla’s first robotaxi.
CEO Elon Musk’s “strategic vision with FSD and Optimus” is seen as crucial to Tesla’s future success. The firm noted positive signs such as the recent FSD v12.4 update and the beginning of FSD testing in China. Their bull case valuation of $350 per share depends on Tesla’s success with FSD and autonomous driving.
The August 8th event is expected to be a significant reveal, showcasing Tesla’s long-discussed robotaxi concept. Wedbush acknowledges challenges like short-term demand fluctuations, especially in China, but sees potential for a global demand rebound.
Overall, Wedbush views Tesla as having a compelling risk/reward profile with positive catalysts ahead, particularly the August 8th Robotaxi Day and potential demand stabilization.
