- Tram Ho
Elon Musk told Tesla employees he agrees with Ark Invest that Tesla stock is worth $3,000 “if they’re priced correctly.” The controversial CEO often comments on Tesla stock, but usually, he says the company’s stock is overpriced.
In 2020, when Tesla stock peaked, Musk told his millions of Twitter followers that he believed the stock was too high. After that comment, shares of Tesla fell. However, at the present time, Tesla stock has risen higher than the whole period of 2020.
At the end of the week, Tesla shares closed at $733, making Elon Musk’s company the most valuable auto company in the market: $730 billion. Analysts on Wall Street are divided on whether Tesla is overvalued.
A few believe that Tesla is worth more than that. Ark Invest is one of them. However, this company’s comment can hardly be considered fair when it is also a shareholder of Tesla through its investment fund. Last week, they released a report confirming a $3,000 price target for Tesla stock in 2025.
“We think Tesla will continue to be successful. The main reason is their market value. Instead of going down from 2017 to now, they have actually grown extremely impressive,” said Cathie Wood of Ark Invest said in an interview with Yahoo Finance.
According to its valuation method, Ark Invest believes that Tesla will sell about 5-10 million electric vehicles by 2025. This is an extremely spectacular growth given that this year, Tesla is struggling to ship nearly 1 million. million new car models.
The company also believes that Tesla will succeed in perfecting a self-driving car rental system called the Tesla Network. This system has the potential to bring Tesla huge revenue with high profits.
In an email to Tesla employees, Elon Musk said: “If they’re accurate, I agree with Ark Inverst.” The stock is priced at $3,000, which means Tesla will reach a market capitalization of about $3 trillion, making it the world’s largest company by market capitalization.
Source : Genk