Shares of Tesla (TSLA, Financial) climbed in early Wednesday trading after a second analyst at Goldman Sachs announced a huge price target increase to $345. But now, the stock is at a record high on the back of enthusiasm for Tesla's sprawling growth plans and solid sales figures.
Tesla's stock has soared around 60% since Election Day and more than 84 percent since Oct. 26, when it unveiled the Cybercab robotaxi. Further bolstering the confidence of investors is CEO Elon Musk's close ties to President-elect Donald Trump, and the potential regulatory advantages provided by his company. Musk's push for cuts in the federal budget and more favorable tariff conditions under the new administration are discerned goals of their own for the automaker.
Due to interest in the company's robotics division, scaling the Optimus humanoid robot for industrial use, and their progress toward full self-driving AI technologies, they've received serious investor interest. Earnings forecasts, by people familiar with the matter, expect EV sales to rise 20% to 30% in 2025, and Musk has hinted there could be a drop in price later that year with the launch of a cheaper vehicle.
The Model Y's popularity helped lift Tesla to its best sales month of the year in China when it sold 73,000 units in November. The sales linger on to December, as 21,900 units were sold in the first week itself.
Wall Street upgrades multiple as Tesla's momentum rolls, analysts adding highlights including strong AI demand and international sales as strong growth drivers.
