Tesla stocks skyrocket 13% as strong deliveries force lenders to raise price target

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Tesla stocks skyrocket 13% as strong deliveries force lenders to raise price target

Widening the gap further from its nearest peer Toyota Motor Corp. in terms of the most-valued automotive industry tycoon across the globe, the NYSE-listed shares’ prices of Tesla Inc. took a continental dive of 13 per cent on Monday to reach a record closing high, extending its five-day long rally that had witnessed an upsurge in the e-vehicle industry trailblazer’s market cap of over 40 per cent as almost all of the Wall St.

lenders, investment funds alongside other financial institutions such as brokerage firms had lifted their price targets for Tesla Inc. shares following reveal of its robust quarterly deliveries. On Monday’s Wall St. closing bell, Tesla Inc.

stocks surged as much as 13.48 per cent to $1,371.58 a share, however, in the after-market trading Tesla shares’ prices added 4.42 per cent further to wind down the day at $1,432.26 per share. More interestingly, Monday’s intra-day jump of Tesla Inc.

stocks had swelled its market valuation by $30 billion from an earlier $209 billion, while the intra-session gain had eclipsed the entire market cap of United States’ third-largest passenger carmaker Ford Motor Corp., which has been at $25 billion on the day’s market closure.

Apart form that, followed by the space-dive that Tesla stocks had experienced on Monday, the combined market valuation of the United States’ first- and second-largest traditional carmaker, General Motors and Ford Motor Corp.

respectively, turned out to be a third of Tesla Inc.’s entire market valuation.

Analysts raise Tesla Inc. price targets by significant margin

Besides, as Tesla Inc.

deliveries had been surprising defying a global-scale plunge in the sales of passenger cars which had compounded further due to the pandemic induced economic downturn, a number of analysts had raised Tesla Inc. price targets on Monday, while the JMP Securities had heightened up its price targets for Tesla stocks to $1,500 a share from an earlier $1,050 per share.

Meanwhile, referring to an out-and-out optimism over Tesla Inc.’s growth over the next several years amid a rising call for green energy in the US and EU, a JMP Securities analyst Joseph Osha wrote in a client note, “We believe that the question to be considered is not whether the stock is expensive on current valuation measures, but what the company’s growth and competitive position signal about the stock’s potential for the next several years,” adding that the Tesla Inc.

annual sales could hit $100 billion by 2025, the same year while the Tesla Inc. head Elon Musk, apparently the best scientist in many decades who has blended meticulously with the present-day corporate culture given his diverse interest on architecture, green energy, space-science and even medicine, has been planning to launch a commercial space travel program through his space venture SpaceX which recently had executed a successful space assignment in collaboration with NASA.