Tesla Stock has been struggling for quite some time now. After it touched $900 and fell after Elon’s comment on Bitcoin and Ethereum, it has been trying to recover ever since. Till a few days back, it’s stock prices trading blows with the $700 price level, but now it has moved down from there too. At present, the share price is sitting at $654. But this is not what Tesla deserves to be at. According to Cathie Wood’s Ark invest, Tesla Stock could reach $3,000 by 2025, and they are expecting a market capitalization of $4 trillion.
Tesla’s expected growth
For those who don’t know, Tesla has been leading the electric vehicle space for a long time now. Its vehicles are industry-leading in terms of technology and set a benchmark for how electric cars should be. Tesla is also much ahead of the competition in terms of battery tech and is expected to keep improving from here on. Keeping all this in mind and the fact that its shares are 6.5 times the price they were trading at the beginning of 2020, a $3000 target seems realistic in 5 years. In fact, the firm also said that if the market goes all bulls, we could even see $4000, and in a bearish market, $1500 is still coming.
ARK invest also took into account the 5 for 1 stock split that is expected to happen by 2024. Considering the same, we can expect the shares to touch $7000 in this period. We can also see much more innovations, and Tesla even nailing the completely autonomous vehicle software. This could be another major source of revenue for the company in the next five years. ARK invest said that we are looking at over $300 billion in revenue per year for the same by 2025.
Why Tesla has a very bright future?
As time passes by, we are moving towards a world of green energy. And there is nothing better than replacing fuel-based cars with electric ones. Tesla is the first major company to manufacture electric vehicles and is also the top supplier worldwide. In 2020, they delivered 499,550 vehicles which is just a hair shy of their 500k target. And as governments start enforcing laws for consumers to purchase electric vehicles and fuel cars become a thing of the past, Tesla will rule. It has already been doing great in terms of sales, and these numbers are going to increase exponentially.
At the same time, the company has still a lot of markets where they aren’t selling yet. One of them is India, which will also be a huge growth factor for the company. With a population of 130 crores, India has the potential to be one of the largest markets for Tesla in the upcoming years.
What are your thoughts on the price prediction of Tesla Stock? And are you an investor in Tesla, or are you planning to? Let us know in the comments below. Also, if you found our content informative, do like it and share it with your friends.
Also Read: BNY Mellon invests in a crypto startup as 1BTC becomes equal to 1KG Gold.
