Elon Musk, CEO of Tesla Inc (NASDAQ:TSLA), expressed optimism that the company's stock could hit $690 in the future, although he did not provide a specific timeline.
On Twitter, Musk responded to a user who anticipated the stock reaching $690. On Monday, Tesla shares closed 6.14% higher at $463.02, marking an 86.39% increase since the beginning of the year.
Analyst Vijay Rakesh from Mizuho Securities raised Tesla's price target to $515 from $230, upgrading the stock rating from 'Neutral' to 'Outperform'. Meanwhile, Wedbush analyst Dan Ives also increased the target to $515 from $400 earlier this week, citing expectations of significant changes under the Trump administration regarding artificial intelligence and autonomous vehicles.
Many analysts, including Ives, believe Musk’s renewed relationship with Donald Trump could foster a favorable environment for the deployment of autonomous vehicles, while potentially disadvantaging smaller competitors in the electric vehicle market.
Tesla's stock has surged over 60% since the announcement of the 2024 election results. Currently, the stock is trading at nearly 126 times its earnings for 2025, compared to an average of 25.75 times for its competitors, indicating Tesla's valuation is more than five times higher than the sector average.