Just one day after a 14-percent decline in Tesla’s stock price precipitated by a negative analyst’s report, another analyst’s report – this one extremely bullish – witnessed TSLA stock ride back up 10 percent.
What was the positive assessment that got everyone buying again?
“We ultimately believe Tesla is a $300 stock at the factory’s maximum capacity, which we hair cut to $200 for the execution risk,” wrote Andrea James, an analyst for Dougherty & Co., “We believe that Tesla is the only firm that has figured out how to make electric vehicle technology ‘work.’”
This analysis that conservatively places a $200 price target on TSLA flies in the face of a bearish prediction of just $84 six months from now set by a Goldman Sachs analyst just prior. Yesterday, TSLA finished at $120.25 after diving to $109.05 on Tuesday.
This was the biggest positive swing in a single day since the end of May.
Tesla stock has more than tripled this year, reported its first quarterly earnings this year as well, and will report Q2 August 7.
On Monday it was also added to the NASDAQ 100 Index of top non-financial stocks.