Eyes on AI! Wedbush Keeps $600 Tesla Stock Price Target despite Q1 Miss

Shares of Tesla (TSLA) dropped 5.42% on Thursday after the EV maker delivered 358,023 vehicles in Q1, missing Wall Street’s estimate of 370,000. Despite the miss, Wedbush’s five-star-rated analyst Dan Ives maintained his Buy rating and $600 price target on TSLA stock, citing AI push and robotaxi plans as key drivers for 2026. Ives’s price target implies an upside of over 65% from current levels.

For context, this marks the second consecutive quarter in which Tesla has missed analyst expectations. The company also deployed 8.8 GWh (gigawatt-hour) of energy storage during the quarter, falling short of the Street’s 14.4 GWh estimate.

Reacting to the Q1 numbers, Ives said the weak delivery numbers were not a surprise, given the soft EV demand across regions and Tesla’s shift toward its AI strategy. However, he called Q1 deliveries an “underwhelming” start to the year.

He noted that Europe remains a significant challenge for Tesla, as the company faces regulatory hurdles in obtaining approval for its Full Self-Driving (FSD) technology. As a result, regional sales are unlikely to recover meaningfully until regulators give the green light—something the firm expects to occur in the first half of 2026. Meanwhile, Ives highlighted that China was a strong performer, with Tesla’s deliveries rising 35% year over year in the first two months of 2026.

Ives further stated that Tesla’s long-term strategy is focused on building steady revenue from AI and robotics. It plans to invest about $20 billion in new factories for its Cybercab, Optimus robot, battery production, and expanding AI computing capacity.

According to TipRanks, TSLA stock has received a Hold consensus rating, with 13 Buys, 11 Holds, and seven Sells assigned in the last three months. The average price target for Tesla shares is $394.36, suggesting a potential upside of 9.36% from the current level.

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