Ives raises Tesla price target to Wall Street high of $600
The Wedbush analyst said investors are “underestimating the transformation underway at the company” regarding AI.
Wedbush Securities analyst and Tesla bull Dan Ives raised his price target for the company to a Wall Street high of $600 from $500 “to reflect our view that an accelerated AI path for the company is now on the horizon and investors are underestimating the transformation underway at the company.” He added, “We believe Tesla is taking major steps in advancing its AI Revolution path with autonomous and robotics front and center heading into 2026 that will be a game changer and define Tesla’s future.”
Tesla is up 1.5% premarket to $429.55 a share, so shares would have to rise roughly 40% to reach that price target.
Just a week ago, Baird analyst Ben Kallo raised his price target for Tesla to $548 (from $320), which was the previous Wall Street high.
Ives said he expects Tesla’s robotaxis to quickly roll out to more than 30 US cities within the next year. On Tesla’s last earnings call, CEO Elon Musk said he expected autonomous ride-hailing to be available to half the US population by the end of this year. Currently, Tesla is operating about 30 autonomous taxis with human safety monitors in the passenger seat in Austin. The company has expanded a more general ride-hailing service, where a Tesla driver sits in the driver’s seat and engages supervised full self-driving, in the Bay Area. It’s currently testing autonomous vehicles in California and Nevada.
Ives is also forecasting that Tesla, which currently has a market cap of $1.3 trillion, will reach a $2 trillion market cap early next year and join the $3 trillion club by the end of 2026 “as full scale volume production begins of the autonomous and robotics roadmap.”
Of course, for Musk to receive his full $1 trillion pay package, he’ll have to push the company’s market cap to a whopping $8.5 trillion in 10 years, making $2 trillion or $3 trillion feel more realistic.
