Artificial intelligence (AI) technology will propel Tesla to $2 trillion in the next few months, according to Wall Street analyst Dan Ives. Ives, who works at Wedbush Securities, highlighted that automobile and technology company’s share could experience a major boost due to its foray into the technology. Aside from AI, Tesla has also been majoring in autonomous driving. Ives noted in an interview with CNBC that self-driving cars are also expected to increase the company’s value, noting that it is presently what most car manufacturers are trying to achieve. He added that the two ventures could be the decisive trigger to drive the company’s growth in the next 18 months. Wall Street analyst highlights AI’s influence on Tesla’s growth Ives mentioned that the market needs to watch and see how the company’s stock doubles from now till over 18 months. “I think get the popcorn out because I believe Tesla’s stock could ultimately double from here over the next 18 months. It’s been obviously a parabolic move, but as you talk about autonomous itself, we think it’s worth $1 trillion,” he said. He explained that while Tesla has been enjoying a nice surge, the stock still has the potential to grow. According to Ives, he feels that with the company’s autonomous driving and AI ventures, its stock could go as high as $600 over the predicted period. He also talked about the firm’s stabilized margin, an indicator that would boost investor confidence. Although skeptics have dismissed the company’s potential for growth in the future, Ives believes that they are refusing to see the bigger picture. He also believes the company’s market cap could hit $2 trillion, projecting it to happen in the same time frame. With Tesla already making its mark in the automobile industry, Ives feels it could become a key player in the sector over the next few years. Trump’s impact and the future of Tesla Ives believes Tesla stock will benefit greatly from Donald Trump’s second administration. With close ties between Donald Trump and Tesla CEO, Elon Musk, Ives believes that autonomous driving could be something to expect on a federal level. He added that the removal of a $7,500 tax credit on electric vehicles could also help Tesla’s market position. Meanwhile, other analysts are still skeptical about the company’s AI venture. One such is UBS analyst, Joseph Spak, who has warned about the dangers of speculating on the company’s valuation, shattering the optimism shared by Dan Ives. Spak said he still maintains a sell rating for the stock, despite pushing his target from $197 to $226. “We understand that the market increasingly views TSLA as an AI play rather than an EV player. However, when the value you can tangibly attribute to the auto business reaches the recent average (~17%), the stock tends to enter a downward channel,” he said. $TSLA going out at a 32-month closing high. Bullish chart if over $300. A monthly PMO cross soon would be a plus. pic.twitter.com/7GHJEFiz8v — Larry Tentarelli, Blue Chip Daily (@bluechipdaily) November 29, 2024 Meanwhile, a review of the company’s stock indicates it closed at a 32-month high. According to another analyst Larry Tentarelli on X, the stock still has the potential to rise, provided it stays above the $300 mark. He added that the $TSLA has the potential for a monthly Price Momentum Oscillator (PMO), fuelling optimism. From Zero to Web3 Pro: Your 90-Day Career Launch Plan
