Tesla (Nasdaq: TSLAThe stock has been heavy and volatile lately, but investors should prepare for more bullish price movement (likely). I’m optimistic about TSLA stock because Tesla CEO Elon Musk can finally turn his attention back on the disruptive auto business that made him the richest man in the world.
Tesla is a famous manufacturer of Electric Vehicles (EVs). Meanwhile, Musk is a corporate boss that he either loves or hates. If you read juicy headlines, you might assume Musk is mired in one nasty scandal after another.
However, you may miss out on more important developments, including Tesla’s global expansion plans – or maybe I should call it Tesla’s global acquisition plans. Even if Musk is unexpected, his vision is undeniable, and his company seems unstoppable.
Musk is finally getting over the Twitter distraction
At a time of soaring inflation and fierce competition in the electric vehicle space, it’s understandable that Tesla stakeholders want assurance that Musk is committed to the automaker he founded so many years ago. At the very least, they can rest assured that the CEO won’t be overly distracted by the day-to-day worries of running a social media platform.
In case you didn’t get the memo, Musk stepped down as CEO of Twitter and appointed NBCUniversal CEO Linda Iaccarino as his replacement for the position. Oddly enough, TSLA stock fell after this news was made public.
Clear-minded commentators, however, were optimistic about this development. For example, Gene Munster, managing partner at Deepwater Asset Management, assessed that Musk’s departure as CEO of Twitter is “a positive partly for Tesla shareholders because he’s likely to spend a little more time at Tesla.”
Along the same lines, Hargreaves Lansdowne analyst Sophie Lund-Yates predicts that Tesla investors will likely celebrate the move (albeit not immediately) “with Musk’s very hands-on approach to Twitter leading to fears he’s had his eye off the ball on this one.” Command. Giant EV.”
Honestly, I’m surprised TSLA didn’t muster this development. In my corner (or am I in his corner?) is Wedbush analyst Daniel Ives, who seems happy to see Musk’s Twitter “hanging” out of the way now. Incidentally, Ives assigns an Outperform (i.e. Buy) rating and an ambitious $215 price target for Tesla stock.
Tesla is expanding internationally
Just as Musk (hopefully) doesn’t get distracted much by Twitter anymore, investors shouldn’t be distracted by some daily headlines involving Tesla. Instead, I invite you to be a big picture thinker and focus on Tesla’s plans for rapid international expansion.
We could begin our hypothetical itinerary in China, where Tesla is seeking regulatory clearance to ramp up production at the automaker’s Shanghai unit. In addition, Tesla is looking forward to mass production of bag battery cells in China. There, “Tesla’s proposed bag-type battery cell pilot production line will have an “initial annual capacity to produce 20,000 amp-hour cells,” Reuters reports.
Now, let’s head to India, where some of Tesla’s top executives are said to be planning to meet with government officials in the country. bloomberg They reported that they’d be busy discussing “local sourcing of components for Tesla models,” but I suspect Tesla execs will have more than manufacturing on their minds. Don’t be too surprised if Musk’s team works hard to win over top officials in India, where the emerging densely populated country could one day be a huge source of sales and profits for clean energy cars.
Finally, we can stop in France, where Musk clearly intends to make “significant investments.” It seems that the friendly feelings are mutual, with bloomberg It reported that French President Emmanuel Macron had “sought to convince Elon Musk… that France is a major hub for foreign investment and electric vehicles.” It’s no secret that France is receptive to clean energy initiatives, so Tesla may be able to position itself as a welcome intruder among the electric car giants there.
Is TSLA Stock a Buy, According to Analysts?
Turning to Wall Street, TSLA stock is a Moderate Buy based on its 15 Buy, 11 Hold, and four Sell ratings. Tesla’s average share price target is $202.84, which indicates an upside potential of 16.7%.
If you’re wondering which analyst to follow if you want to buy and sell TSLA stock, the most profitable analyst covering the stock (in a one-year time frame) is Piper Sandler’s Alexander Potter, with an average return of 110.04% per share. evaluation and a success rate of 57%. see below.
Conclusion: Should You Consider TSLA Stock?
In fact, there’s a lot going on with Tesla right now, and it’s not all about Musk’s latest personal scandal. From now on, Tesla stock traders should keep their eyes on the prize and separate the news from the hype and nonsense.
Moreover, if TSLA stock falls irrationally after Musk names the new leader of Twitter, this is really just a buying opportunity, in my opinion. So, consider participating in Tesla’s global acquisition — led by a CEO who I hope is more focused today than he was in 2022.
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