UBS Upgrades Tesla (TSLA) to Buy, 'Tesla's future is brighter than ever'
- S&P 500, Nasdaq close up 4th straight week as optimism grows
- 'Back in Tech': Investors are Increasing Exposure to Tech and Growth Stocks - BofA
- Rivian Reports Bigger Loss, Says Current Models Won't Qualify for Tax Breaks
- US-listed China Stocks Slip on Delisting Moves, Analyst Sees Short-term Noise
- Salesforce (CRM), Snowflake (SNOW) Rated New Sell at Guggenheim, Oracle (ORCL) at Buy
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
UBS analyst Patrick Hummel upgraded Tesla (NASDAQ: TSLA) from Neutral to Buy with a price target of $1,100.00.
The analyst comments "We upgrade TSLA to Buy (from Neutral) with an unchanged $1,100 PT. TSLA is down ~35% ytd in line with other tech stocks, but we believe the operational outlook is stronger than ever before thanks to: (1) record-high order backlog & two new gigafactories ramping up; (2) margin momentum: after the Q2 dip, auto gross margin should structurally exceed 30%, driven by pricing and product & process innovation; (3) a structural competitive edge in key supply chains, resulting in superior growth and profitability. While we cut 2022E EPS by -12% to account for the Shanghai lockdown (still reaching ~50% growth in deliveries y/y though), we raise EPS for the next 3 years by up to 40% resulting in $28 EPS (diluted) 2025E, to be achieved mostly with already known products & production facilities."
Shares of Tesla closed at $725.60 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Morgan Stanley on Tesla (TSLA) Preference Following In-house Survey of Interns: 'Tesla's desirability as a share of total intern preference declined'
- Suzuken Co Ltd (9987:JP) PT Lowered to JPY3,600 at Nomura/Instinet
- Active options: TSLA AAPL NVDA AMC AMZN RIVN DIS CHPT BBBY
Create E-mail Alert Related CategoriesAnalyst Comments, Hot Comments, Hot Upgrades, Upgrades
Related EntitiesUBS, Tesla
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!