(Updated - April 14, 2020 8:45 PM EDT)

(updating comment)

Goldman Sachs analyst David Tamberrino initiates coverage on Tesla (NASDAQ: TSLA) with a Buy rating and a price target of $864, saying it is well-positioned to benefit from long-term secular growth in EVs.

The analyst comments "We are Buy rated on Tesla as we believe that the company is well positioned to benefit from long-term secular growth in EVs, and we expect the company’s early-mover advantage and technology cadence compared to peers (with meaningful updates delivered OTA) will allow Tesla to maintain good market share and gross margins. We expect Tesla’s revenue CAGR over the next 5 years to be well over 20% (2020-2025), and we believe that Tesla screens attractively on EV/Sales relative to revenue growth compared to auto and tech companies, especially in the context of the improvements the company has made in cash flow."

For an analyst ratings summary and ratings history on Tesla click here. For more ratings news on Tesla click here.

Shares of Tesla closed at $650.95 yesterday.