With Tesla (NASDAQ:TSLA)’s stock approaching the $400 per share mark, investors are questioning just how high it can climb by the end of 2024. Monday’s session saw Tesla close at $389.79 after briefly touching $404, and premarket trading on Tuesday showed a 1% increase, pushing the stock to $393.74.
Will Tesla Hit $500 Per Share By the End of 2024?
Market analysts remain divided on Tesla’s potential to reach $500 by year-end. While Morgan Stanley (NYSE:MS) raised its price target to $400, maintaining Tesla as a top pick, Cantor Fitzgerald remains skeptical.
Cantor Fitzgerald recently increased its price target to $365 from $255 but maintained a Neutral rating. The firm cited enthusiasm for Tesla’s Robotaxi and self-driving initiatives but expressed caution over the stock’s valuation, suggesting they would wait for a more favorable entry point.
Robotaxi and Self-Driving Optimism
Cantor Fitzgerald highlighted Tesla’s advancements in its Full Self-Driving (FSD) technology as a potential growth driver. The firm noted:
“We are becoming more bullish on Tesla’s Robotaxi segment, following President-elect Trump’s plans to potentially develop a federal framework for self-driving vehicles in the United States, and an update to the company’s FSD software.”
Tesla’s release of FSD version 13.2 last week brought updates like reverse driving and automated parking. Although initially limited to select customers, early feedback has been positive, reinforcing optimism for a Robotaxi launch.
Conclusion
Tesla’s climb toward $500 per share is marked by both optimism and caution. While advancements in self-driving technology and potential regulatory frameworks provide tailwinds, concerns about valuation persist. Whether Tesla can hit the $500 mark will likely depend on further developments in its autonomous driving initiatives and broader market trends.
