In contrast to the newly reapproved compensation plan for Elon Musk, the billionaire CEO of Tesla Motors (NASDAQ: TSLA), the company has not been doing remarkably well in 2024.
Despite a more recent rebound, the electric vehicle (EV) company has been losing money since January 2 due to demand issues that have plagued it since the beginning of the year, particularly in the first quarter. The current price of Tesla is $185.02.
The market capitalization of TSLA, which finished 2021 well over a $1 trillion valuation, has significantly decreased as a result of this performance. It is now valued at a much lower $581.93 billion.
Despite this, well-known analyst Dan Ives of Wedbush thinks Tesla will only rise over the next 12 months.
Expert forecasts when Tesla will recover $1 trillion.
In fact, Ives said in a recent interview that Elon Musk’s electric vehicle manufacturer is expected to reach a significant milestone in the first quarter of 2025 and introduce a reasonably priced car, most likely costing less than $35,000.
There have been rumors for over a year about a new, less expensive Tesla car that would be produced in the Berlin facility and be priced at €25,000 ($27,000) or less.
Furthermore, Dan Ives thinks that Tesla will eventually overcome its present demand problems and surpass the $1 trillion market capitalization in the next year, most likely in the first half of 2025.
In fact, with the EU’s recent move to drastically raise tariffs on Chinese electric cars, Tesla has seen a vicarious windfall in terms of demand in Europe.
Regardless matter the outcome of the next presidential election, the corporation will probably gain from it as well.
President Biden pledged to support the electric vehicle (EV) sector, and former President Trump has begun to propose reducing income taxes and replacing them with higher tariffs, which would again benefit local manufacturers like Tesla.
The largest supporters of Tesla
Despite recent remarks to the contrary, leading Tesla bull Dan Ives has maintained a 12-month stock price objective of $275, which would reflect a market size of $876 billion. Ives set this goal at the end of April.
The street-high estimate for Tesla Motors’ shares, set by Morgan Stanley (NYSE: MS), is at $310, which would put the company’s market capitalization just shy of $1 trillion at $987 billion in a year.
