Cathie Wood’s Ark has a new price target for Tesla: $ 3,000

Cathie Wood

Photographer: Alex Flynn / Bloomberg

Cathie Wood’s Ark Invest Management Expects Tesla Inc. Shares To Hit $ 3,000 by 2025, up from its current price of $ 655. At that price, the company would be worth nearly $ 3 trillion, based on the number of shares outstanding.

Ark expects there to be a 50% chance that Tesla will achieve fully autonomous driving in five years, which could allow the company to rapidly scale its planned robotaxi service, according to a note Friday on Ark’s website.

He also added Tesla’s insurance business to his model, believing that the offering could be rolled out in more states in the coming years with better-than-average margins, thanks to the “highly detailed driving data” the company collects.

Wood has been one of Tesla’s most ardent supporters, with large holdings of the company in his flagship fund. When Tesla shares saw a pullback in February, she bought more.

Under Ark’s new model, Tesla could at best reach $ 4,000 per share by 2025 and, in the case of the bear, $ 1,500. The company forecasts that Tesla unit sales will be between 5 million and 10 million vehicles in 2025, assuming greater capital efficiency.


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