Tesla stock bounces after Wesbush analyst raises price target, but maintains rating neutral


Tesla Inc. TSLA shares
-4.14%
Booming after falling 5.9% over the past two days, prepaid trading rose 2.2% on Friday, citing signs of “stronger and stronger-than-expected” demand in China, with Wembush analyst Dan Ives at its current level Price target above Rs. Ives raised its price target to $ 475, which is $ 380 to 12.2% above Thursday’s closing price of $ 423.43, while reiterating its neutral rating on the stock since April 2019. “Pent-up demand in the China EV market for the Model 3 and recent price cuts are catalyzing stronger unit delivery for Musk and the company in this major market, with increased market share versus domestic competitors Because the success story of Giga 3 continues, “Ives wrote in a note to subscribers. He said that because the Model 3s sold in China have higher margins than those sold in the US and Europe, he believes that China’s strengths could raise Tesla’s profitability profile over the next few years. For the much awaited Battery Day, to be held on September 22, Ives said that Chief Executive Elon Musk would announce several possible “game changing” battery developments. The last two days of stock sales pulled a 5-day win streak, with the stock gaining 36.2%, which in turn came after a five-day bear-market sell-off, in which the stock sank 33.7%. It has run more than five times (406.1%) to date, while the S&P 500 SPX,
-0.84%
An increase of 3.9%.

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