Three Price Target Boosts Can't Help Tesla Stock

Dow Jones07-14 20:00

Tesla stock was wobbling at the start of Tuesday trading as investors mulled over what a couple of Wall Street price target hikes could do for it.

Shares of the electric-vehicle maker were up 14 cents in premarket trading at $394.90, while S&P 500 and Dow Jones Industrial Average futures were down 0.1% and 0.3%, respectively.

The move came after Morgan Stanley, Barclays, and Wells Fargo all bumped their price targets for Tesla stock.

Morgan Stanley analyst Andrew Percoco raised his price target by $2 to $417 and kept a Hold rating on shares. Strong second-quarter EV deliveries should lead to solid quarterly results, due on July 22.

Tesla delivered about 480,000 cars in the second quarter, up 25% year over year and better than the 406,000 Wall Street projected.

Barclays analyst Dan Levy also tweaked his numbers ahead of earnings. His target rose to $370 from $360, and he kept his Hold rating on the shares.

Wells Fargo's Colin Langan is one of Tesla's biggest bears. He rates shares Sell and, until Tuesday, had a $125 price target for the stock, almost 70% below Monday's closing level.

Now, his target is $130, up $5. He sees potential for a quarterly earnings beat following the strong second-quarter delivery. Still, Tesla faces higher costs for memory chips, copper, and lithium, a key component of EV batteries.

Numbers moved around, but no analyst changed their mind. Based on early trading, neither have investors, who are mainly looking for AI improvements rather than a quarterly earnings beat.

The best thing for Tesla stock when earnings are reported might not be strong bottom-line results, but news that it is close to selling AI-trained humanoid robots or expanding its unsupervised robo-taxi business to more cities.

Tesla's AI efforts are the main reason its shares are valued like a tech stock rather than a car company. Tesla is currently worth about $1.8 trillion, based on fully diluted shares outstanding. Toyota Motor, the world's second-most-valuable car company, is worth closer to $250 billion.

Write to Al Root at allen.root@dowjones.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

 

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July 14, 2026 08:00 ET (12:00 GMT)

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