Is Tesla Stock ‘Bulletproof’ Now? Here’s Why Some Investors Think So

Tech companies sell the future, and few do so more determinedly than Tesla. 

During Wednesday night’s earnings conference call, for example, comparatively little time was spent discussing the latest vehicle numbers or the company’s weaker-than-expected fourth-quarter results. Far more was devoted to CEO Elon Musk’s thoughts regarding a possible $10 trillion in robot sales, his visions for massive market value growth, and other things. Investors, some observers say, are looking in the same direction. 

Tesla (TSLA) shares “appear to be bulletproof,” Deepwater Asset Management Managing Partner Gene Munster wrote on X last night. He saw the company’s latest quarterly results as “messy,” citing the profitability of its auto sales, but “Investors don’t care because it’s all about what’s on the come.”

Wall Street analysts are, broadly speaking, more cautious. The mean price target on the shares, according to Visible Alpha data, is around $374, below Wednesday’s close; as many analysts have “buy” ratings on the shares as hold neutral or negative ratings when the latter two are combined.

“Investor sentiment has shifted more positively and catalysts around future growth drivers have been more fully recognized,” wrote Bank of America analysts, who have a neutral rating—but also a $490 price target—on the stock. “Our latest valuation analysis suggests there is still some upside, but execution risk is high.”

Tesla stock “continues to confound us,” UBS analysts wrote in a note published today. “Tesla is more than an auto company. We can almost definitively say the market doesn’t treat Tesla like an auto company, but rather an AI company.” (They raised their price target today, but it’s well below recent prices, and their rating is a “sell.”)

The stock was recently up more than 2% at just below $400. Over the past 12 months, it’s more than doubled.