2 weeks Ago By Ananya Gairola
Elon Musk -led Tesla Inc. TSLA has surged over 40% since Election Day , with analyst Dan Ives calling President-elect Donald Trump’s victory a pivotal boost for AI and autonomous driving. What Happened : On Monday, while appearing on CNBC’s Closing Bell, Wedbush analyst Ives, who has raised his price target for Tesla to $400 from $300 , has called Trump’s win a “game changer” for the EV giant.
“Tesla is the most undervalued AI name in the market in our view,” he posted on X , formerly Twitter , while sharing a clip from his appearance on the show. Ives believes Tesla’s focus on autonomous driving and AI could add $1 trillion in valuation, potentially boosting the stock by an additional 20% to 30%. See Also: Elon Musk Reveals Toughest Part Of Building Tesla’s Humanoid Robot: ‘Improving The Design Of Optimus For Ease Of Manufacturing.
..’ He also suggested that Musk’s strategic role as an advisor to Trump could greatly benefit Tesla, specifically in navigating regulatory issues more effectively.
"He's going to have a significant seat at the table," Ives said of Musk, adding, "Trump's win changes the whole game for Musk, for Tesla, for autonomous, for FSD.” “They’ll still have issues on states, this is not going to be a 100% smooth road. But this is a much different stock than it was a week ago with Trump in the White House.
" Tesla is the most undervalued AI name in the market in our view @CNBCClosingBell 🔥🏆🐂🍿 https://t.co/bmewkTv4Dg Why It Matters : Following Trump’s victory, Musk’s net worth soared by $26.5 billion in a single day, lifting his total wealth to an unprecedented $290 billion.
This increase was largely due to the post-election rally of Tesla’s stock. At the time of writing, Musk had a net worth of $335 billion. Musk endorsed Trump and campaigned for him online and on the ground in the key state of Pennsylvania .
Meanwhile, the President-elect has previously announced plans to establish a government efficiency commission , led by Musk. Before the election, Musk had warned of potential “hardship” if Trump appointed him to lead government efficiency efforts, aiming to reduce federal spending drastically. Last month, Tesla reported third-quarter revenue of $25.
18 billion, marking an 8% year-over-year increase . However, it fell short of the Street’s consensus estimate of $25.37 billion, according to data from Benzinga Pro .
Price Action: Tesla shares closed Monday with an 8.96% gain, finishing at $350. In after-hours trading, the stock continued to climb, reaching $357.
98 at the time of writing. Read Next: Elon Musk’s Mom Knew He Was A ‘Genius’ By 3 Years Old But Worried He’d ‘End Up In A Basement’ – Now He’s The Richest Man In The World Disclaimer : This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors. © 2024 Benzinga.
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