Tesla Inc. TSLA stock has seen an uneven recovery this year, alternating between recoveries and pullbacks. Much of the volatility may have to do with external shocks, including the banking crisis.
What Happened: Future Fund’s Gary Black, a Tesla bull, weighed in on the near-term trajectory for the stock.
Tesla Price Action: Tesla shares have lost about 12% since the March 1 Investor Day as opposed to the 4% gain for the Nasdaq 100 Index, Black noted. The stock is still about 72% higher for the year, although off the year’s high of $217.65.
See Also: Everything You Need To Know About Tesla Stock
Black expects Tesla’s stock to remain stuck in the recent range of $170-$190 until the release of its first-quarter deliveries. The company could release the numbers on April 2.
Street estimates deliveries to touch 420,000 units in the first quarter compared to 405,278 units sold in the fourth quarter and 310,048 units in the year-ago quarter.
Black’s Future Fund’s flagship exchange-traded fund — the Future Fund Active ETF FFND — has Tesla as its second biggest holding, with a weighting of 8.87%.
Amid Tesla’s stock slide in 2022 and in the run-up to Investor Day, Black has repeatedly orchestrated the need for a $25k-$30k compact car to expand the company’s total addressable market to the mass segment.
Black’s firm has a $370 price target for Tesla shares, more than 100% upside from current levels.
- Upcoming Catalysts: Black enumerated several near- to medium-term catalysts that can impart momentum to Tesla’s shares.
- These include:
- Record first-quarter deliveries in early April.
- FSD V11 best single stock expected in the first quarter.
- Megapack revenue estimate increases in the first quarter.
- Clarity on the $7,500 EV credit after the first quarter.
- A $10 billion buyback, potentially in the second-half.
- Twitter CEO announcement, likely in the second-half.
- Cybertruck launch in late 2023
- A $25k compact car in 2024.
Tesla closed Friday's session down 2.17%, at $180.13, according to Benzinga Pro data.
Check out more of Benzinga's Future Of Mobility coverage by following this link.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
