In a seemingly paradoxical reaction, Tesla’s stock has gone far after the announcement higher than expected earnings in the second quarter of 2021 At the end of July, share price losses were recorded for the first time. In the middle of last week, however, an upward movement began with a noticeable plus, especially on this Monday, and a stable course on Tuesday. Overall, the Tesla share has gained a good 9 percent since then – at the beginning of this week, probably with the support of a new analyst assessment from Asia.
Buy Tesla stock for KGI Securities
According to reports on Monday, broker KGI Securities, a subsidiary of China Development Financial from Taiwan, has added Tesla to its watchlist. That could have contributed to the gain of another 3 percent of the stock at the beginning of the week. Because KGI’s initial assessment was very positive – and the broker had previously made an international name for itself with expert Apple analyzes, as the Electrek blog writes about him.
The recommendation for the Tesla share is therefore “outperform”, so in principle buy, and as a target price KGI Securities named 855 dollars, which would be around 20 percent more than currently. The responsible analyst gives the reason for this Electrek laut seathat Tesla will be a leader in the global electric car industry for at least three to five years. The study literally speaks of “technological superiority”, as evidenced by the five points autopilot and autonomous driving, software updates via radio, own software and electronics architecture, self-developed battery cells and cast parts as well as the supercharger network.
Despite the current lead, KGI does not assume that Tesla will dominate the electric car market in the long term, cited Electrek. Established car manufacturers, like other electric car startups and global technology companies, would try to exploit the enormous market potential for themselves. According to the extract, the respective brands, software strengths and new business models offer starting points for this.
Mean forecast currently at $ 747
The average target price for Tesla from 23 banks and brokers on Wall Street is according to the financial service TipRanks currently $ 746.91; twelve houses recommend the share as buy, seven to hold, and seven to sell. After the Q2 figures were published at the end of July several skeptical Tesla analysts raised their targets for the stockwhile the most optimistic clung to their own course forecasts. Piper Sandler, for example, reiterated the high goal of $ 1,200 on Tuesday. Although Tesla will lose electric car market share, it will increase its share of the overall market, the comment said.