Tesla (TSLA) Stock Lands on “Best Ideas List” as Wedbush Shrugs Off DOGE & Musk Concerns
Tesla (TSLA) stock has landed on Wedbush’s “best ideas list” as analyst Daniel Ives reaffirmed his bullish stance on the American EV giant. Ives reiterated his Buy rating on TSLA stock, shrugging off concerns over DOGE and Elon Musk’s political involvement. This update offers a much-needed boost for Tesla investors, as Wedbush calls it a “gut-check moment” amid prevailing bearish sentiment. With a $550 price target, Ives projects an upside of over 100% in Tesla’s share price.
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Having said that, this comes just a day after Baird’s Ben Kallo highlighted short-term challenges for Tesla’s Q1 deliveries, maintaining a cautious outlook. Baird also lowered its price target from $440 to $370.
Wedbush Stays Bullish on Tesla
Regarding DOGE and Musk’s political controversies, Ives believes these have minimal impact on Tesla’s sales. He estimates that less than 5% of Tesla’s global sales are at risk due to these factors, despite widespread negative sentiment. Meanwhile, Wedbush sees Trump administration as a positive for Tesla, expecting a more lenient regulatory environment that could accelerate the company’s autonomous vehicle ambitions.
Additionally, Ives stated that Tesla is entering its most significant phase of innovation and technological advancement in the coming years. Wedbush expects Tesla to launch a sub-$35K EV before summer, supporting demand growth and driving the company toward a two million annual delivery target.
On top of that, Wedbush highlights the planned June launch of unsupervised Full Self-Driving (FSD) in Austin, marking a key milestone in Tesla’s autonomous ambitions. Wedbush estimates that Tesla’s self-driving technology alone could be worth $1 trillion based on a sum-of-the-parts valuation. All in all, Ives stated that autonomous technology and Optimus will account for 90% of Tesla’s valuation.
In context, Optimus, also known as the Tesla Bot, is a general-purpose humanoid robot currently being developed by Tesla.
Is Tesla a Good Share to Buy?
Overall, Wall Street analysts continue to hold a neutral view on Tesla stock. According to TipRanks, TSLA stock has received a Hold consensus rating, with 14 Buys, 11 Holds, and 10 Sells assigned in the last three months. The average price target for Tesla shares is $351.48, suggesting a potential upside of 33.4% from the current level.
Year-to-date, TSLA stock has declined by 35%.