Tesla could “considerably” extend its lead in electric vehicles. Deutsche Bank raises its target to $ 1,200.
Deutsche Bank analysts increased their price target on shares of
claiming that the world’s shift to electric vehicles could help “dramatically extend Tesla’s lead in electric vehicles.”
The stock price target was raised to $ 1,200 from $ 1,000. For comparison, analysts at Wedbush and Jefferies have Tesla price targets of $ 1,400, while Piper Sandler’s target is $ 1,300.
In a note dated Friday, Deutsche Bank, which reiterated its buy note on the stock, said it continued to believe that “Tesla’s trajectory for its battery technology, capacity and most importantly its cost could help accelerate the world’s shift to electric vehicles and significantly expand Tesla’s lead in electric vehicles. . “
Analysts said 2022 could be a “pivotal year for Tesla’s future growth and profitability,” citing the ramp-up of two new assembly plants, one in Berlin and one in Austin, Texas. , among other catalysts.
Deutsche Bank raised its estimate of Tesla deliveries in the fourth quarter to 282,000 units from 268,000, reflecting larger deliveries of the Model 3 and Y in China. Analysts increased their estimate of the electric vehicle giant’s fourth-quarter revenue to $ 16.1 billion, from $ 15.4 billion on the basis of higher volumes. Earnings per share increased to $ 2.46 per share from $ 2.22.
FactSet analysts are forecasting fourth quarter revenue of $ 15.5 billion and earnings of $ 1.92 per share.
Wall Street is asking for 267,000 fourth quarter vehicle deliveries, according to FactSet. That would be a record and up from the 241,300 delivered in the third quarter of 2020.
Tesla is expected to deliver 272,650 vehicles to reach 900,000 for the full year of 2021, writes Al Root of Barron. He noted that Tesla delivered around 500,000 vehicles in 2020.
Deutsche Bank is modeling 1.47 million delivery units for all of 2022, “and with further upside potential depending on chip availability,” analysts wrote.
Wall Street currently expects deliveries of about 1.42 million vehicles, including 296,000 in the first quarter.
Write to Joe Woelfel at [email protected]