Tesla stock raced ahead in recent weeks, leaving Wall Street price targets in the dust. Now, analysts are playing catch-up.
Friday, Wedbush analyst Dan Ives hiked his Tesla price target to a Street-high $600 from $500 a share, keeping his Buy rating on the stock.
"Tesla is taking major steps in advancing its AI Revolution path with autonomous and robotics front and center heading into 2026," wrote Ives. "Tesla could reach a $2 trillion market cap early 2026 in a bull case scenario and $3 trillion by the end of 2026 as full-scale volume production begins of the autonomous and robotics roadmap."
Tesla is scaling up the self-driving taxi service it launched in June in Austin, Texas. What's more, it hopes to start selling significant quantities of its humanoid robot dubbed Optimus in 2026.
Shares of the electric vehicle maker were up 2.5% at $434.08 in morning trading.
Price target hikes typically help shares, but Tesla stock is already up a lot, rising 30% over the past three months heading into Friday trading.
The rally has taken shares well past the average analyst price target of $342 a share, according to FactSet. The average analyst price target is up about $32, or 10%, over the past three months.
Tesla stock spends a lot of time above the average analyst price target. The average target started the year at about $300. Tesla stock was about $400 at the time. Tesla stock was most recently below the average analyst price target in July, with shares below $300 apiece.
Overall, 47% of analysts covering Tesla stock rate shares Buy. The average Buy-rating ratio for stocks in the S&P 500 is about 55%.
Ives' target values Tesla stock at about 214 times his estimated 2026 earnings per share of $2.80. Currently, Tesla trades for roughly 170 times the consensus 2026 EPS estimate of about $2.50 a share.
Coming into Friday trading, Tesla was up about 5% year to date and up about 67% over the past 12 months.