Tesla in the Fast Lane: Price Target Adjusted Thanks to Autonomous Driving and Political Tailwinds

Tesla continues its rapid stock price ascent, fueled by optimistic forecasts for autonomous driving and support from political circles. Dan Ives, a renowned analyst at Wedbush Securities, recently raised his price target for Tesla shares from $400 to $515. He sees the developments under the impending Trump administration as an acceleration for these forward-looking projects. According to a report by Reuters, relief from manufacturers' obligations to the traffic safety authority NHTSA, such as reporting accidents in autonomous vehicles, could be a significant advantage for the company. Tesla has so far reported over 1,500 such incidents, making the potential reduction of these bureaucratic hurdles particularly attractive. Even before taking office, Trump's team agreed to prioritize autonomous vehicles within the Department of Transportation. This could, in turn, strengthen Tesla's leading position in the fully autonomous vehicle market. Analysts from Deutsche Bank, Bank of America, and Morgan Stanley also raised their price targets, underscoring confidence in Tesla's technological leadership and robust demand in the Chinese market. According to Ives, Tesla could reach a market capitalization of $2 trillion by the end of 2025, supported by the rapid implementation of autonomous technologies and potential tariff relief on exports from China. These advantages not only provide Tesla with cost benefits but also strengthen CEO Elon Musk's involvement in global trade discussions.