Tesla (TSLA) stock is riding a nearly week-long win streak on the market, seeing six-straight days of gains. Coming into Wednesday trading, Tesla stock was up almost 11% since Aug. 5, thanks to a healthier tech market and rising electric vehicle sales. The rise in EV sales likely comes with the end of the $7,500 federal tax credit in September, so it helped give TSLA a boost in the past week.
CEO Elon Musk posted several updates about Tesla’s Full Self Driving, or FSD, product over the weekend, adding more fuel to the fire under TSLA stock. The billionaire pointed out that the FSD version that Tesla’s Austin, Texas, robo-taxis are running is more advanced than what Tesla drivers use, adding that coming versions of FSD represent dramatic improvements. Tesla Robotaxis are also expected to expand their coverage in other parts of the country, which could also attract investor interest.
Analysts Split on Tesla Stock Future
Furthermore, Fundstrat analyst Mark Newton wrote recently that a close above $338 would be a bullish technical sign for the stock. Tesla stock closed above $338 on Monday for the first time since late June. Coming into Wednesday trading, Tesla stock was down about 16% so far this year, but up about 64% over the past 12 months.
Other analysts are split on Tesla’s valuation; targets range from $276 to $410. The highest stock price target sits at $410 from Morgan Stanley. On the other hand, the lowest forecast comes in at $276 from KGI Securities. The current market price for Tesla (TSLA) stock is $340.84. However, most projections are that Tesla will continue to outperform expectations for the remainder of August.
Also Read: Jim Cramer: Tesla’s No Longer a Car Company, It’s a Tech Giant
Meanwhile, Elon Musk’s legal threats against Apple and the ongoing shareholder lawsuit could detract from Tesla’s focus, raising concerns about the company’s strategic direction. This has played a part in Tesla stock’s success before, with Musk’s venture into politics sending TSLA falling in share price earlier this year.
