Jefferies Raises Tesla TSLA Price Target To $2,500 from $1,200

On August 25, analyst Philippe Houchois from Jefferies raises Tesla (TSLA:NASDAQ) one year price target to $2,500 from $1,200.

"Tesla's competitive edge in cars may soon start to shrink but continues to widen in multiple other dimensions, from brand leverage and software to battery capacity and industrial efficiency," Houchois wrote in a note to clients. He's also looking ahead to the company's Battery Day on Sept. 22, when he expects that Tesla will "set new benchmarks and ambitions for battery density, materials and industrial processes leading to pack costs <$100 in coming years."

Houchois will also be looking for commentary on the "million-mile" battery, or the idea of a battery that could last for a million miles. "We cannot pretend to understand the magnitude and speed of share price moves," he wrote of Tesla shares (TSLA:NASDAQ), which have rallied 147% over the past 3 months as the S&P 500 has risen 15%. But Houchois said that he and his team "still see logic in the exuberance," in part because "growth expectations for 2020 to 2022 doubled since September 2019, almost exclusively driven by autos as non-auto related revenue remains a small fraction of estimates."

On June 18, 2020. Jefferies analyst Houchois raised Tesla (TSLA:NASDAQ) to $1,200 from $650. During the last price target raising, Jefferies analyst Philippe Houchois made the call after concluding that the transition to EVs and renewables would accelerate because of the global pandemic. 

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