According to Live Squawk on Twitter and other reports, Jefferies raised his price target on TSLA from $ 1,200 per share to $ 2,500 per share with a scenario upward of $ 3,000. TSLA stock jumped about 1% after hours of trading after the news broke.
Jefferies analyst Philippe Houchois has almost tripled his price target in the past two months. In mid-June, Houchois raised his TSLA price target from $ 650 to $ 1,200, citing Tesla’s accelerated momentum and the potential to continue to move away from the competition.
Houchois had the opportunity to ask Tesla’s management team a question about the company’s second-quarter earnings call and the analyst focused on Tesla’s battery production plans in Europe.
“Will there be a battery capacity compatible with the amount of build volume you plan to release?” [Giga Berlin]? And if not, would you be able to find your batteries outside of Europe? Or should you import batteries from outside of Europe for production in Berlin? “, Asked Houchois. Currently, Tesla’s batteries come from their US Gigafactory or suppliers in Asia.
Tesla CEO Elon Musk responded by saying, “We can’t say too much about this except that there will be local production of cells and it will meet the needs of the Berlin plant. Musk and SVP Drew Baglino continued to highlight Tesla’s human capital needs in the region, Musk noting that talent acquisition in Berlin is particularly tricky due to EU regulations on workers changing companies.
For more analysis on Tesla, including Tesla’s one-piece Model Y casting, watch the included video and follow Tesla Daily on TheStreet.
Disclosure: Rob Maurer is long stock TSLA and derivatives.