Wedbush Securities analyst Dan Ives announced that the wealth management firm would raise its price target on Tesla after the split to $360.
Wedbush’s pre-split price target for TSLA stock was $1,000. He previously predicted Tesla shares would hit $333 after the 3:1 stock split.
“We are adjusting our price target from $1,000 pre-split ($333 post-split) to $360, reflecting the 3:1 split as well as Tesla’s improved production from its key China Giga factory during the September quarter with clear momentum towards the end of the year. . We note that Tesla’s last stock split was a 5:1 split announced in August 2020. We maintain our SUPERPERFORM rating,” he note Wedbush in a Street Insider report.
We are adjusting our price target from $1,000 pre-split ($333 post-split) to $360, reflecting the 3:1 split as well as Tesla’s improved production out of its key China Giga factory during the September quarter with a clear boost towards the end of the year. Maintain top performance rating.
— Dan Ives (@DivesTech) August 24, 2022
Tesla Giga Shanghai Updates
Tesla China recently finished upgrading Giga Shanghai’s Model 3 and Model Y assembly lines. The upgrades are expected to increase Model Y production in China to 14,000 units per week. Model 3 production is expected to increase to 7,700 units per week.
Giga Shanghai has contributed significantly to Tesla’s growth in recent years and will likely continue to do so in the future. Tesla aims to achieve an annual run rate of 2 million vehicles by the end of 2022. During the 2022 Cyber Roundup, Elon Musk noted that Tesla had already achieved an annual run rate of 1.5 million units.
Shutdowns related to COVID-19 prevented Tesla China from fully operating in the first half of 2022. Giga Shanghai upgrades also went down a bit, but for the rest of the year, nothing seems to be slowing down Tesla china He will play a pivotal role in the company’s 2M goal.
Tesla stock split schedule 3:1
Tesla shareholders approved a 3:1 stock split during the Cyber Roundup earlier this month. The company plans to carry out the stock split in the form of a stock dividend after the closing bell on August 24. Trading on a stock split-adjusted basis will begin on August 25.
Tastyworks CEO Scott Sheridan sent a comment to Teslarati about Tesla’s upcoming stock split.
“Other than having more stock contracts or more options, it’s very hard to say what this split will definitively mean. If history repeats itself, it’s entirely possible that Tesla stock will go higher,” Sheridan said.
Tesla conducted its last stock split in August 2020. It was a 5:1 split, which brought the price to $442.68 from $2,213.40.
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Wedbush raises price target on Tesla ( TSLA ) stock split after 3:1 to $360