Tesla Stock

Tesla Revenues To Exceed GM and Ford Combined by 2027 Says Wallstreet Analyst

While most auto-investors struggle to see Tesla exceeding the likes of General Motors and Ford in revenue, Morgan Stanley see things differently. By 2027, analyst Adam Jonas sees Tesla revenues surpassing General Motors and Ford combined, making it the biggest Auto-Maker by sales in the United States.

For a century, the rise of petroleum vehicles has cemented Ford and General Motors as the cornerstone of American manufacturing. However, with the shift towards Electric Vehicles on the horizon, well established EV manufacturers are stealing marketshare in one of the most competitive industries in the world.

Here’s what Morgan Stanley had to say regarding Tesla Stock and their future in the American Auto industry.

Morgan Stanley See Tesla Revenues exceeding GM and Ford by 2027

Last Friday, Morgan Stanley analyst Adam Jonas highlighted in a note to investors that Tesla’s (TSLA) U.S. market share was 4% in January with sales up 63% year-over-year. This growth is compared to the broader market’s unit volume being down 10% year-over-year, adding that Tesla’s U.S. share will average 3.5% in 2022.

Jonas estimates that Tesla’s US Marketshare can reach 10% by the end of 2026 and nearly 18% by 2030. By 2027, his estimates see Tesla sales exceeding Ford and GM combined. The analyst argues that the “zero-sum game is hard to see today, [but] should become obvious over the next 24 months”.

The Morgan Stanley analyst is Bullish on Tesla Stock with a $1,300 price target. The forecast from Adam Jonas implies a healthy upside of 39.48% from the current trading price.

Tesla stock
Barcelona, Spain. March 2018: Tesla inc cars flagship store near Passeig de Gracia luxury shopping street with Tesla logo and an electric cars model S and X inside

Credit Suisse Turn Bullish On Tesla Stock After Q4 Beat

On January 31, Credit Suisse analyst Dan Levy upgraded Tesla to Outperform from Neutral with a price target of $1,025. Levy sees the stocks recent sell-off as a buying opportunity as Tesla remains a “one of one” stock. The upgrade comes after Tesla beat Wallstreet estimates in their Q4 results, generating $17 billion in the fourth quarter.

Furthermore, the analyst added that Tesla stock will likely rebound as the companies fundamentals continue to improve. Future volume growth and sustained margin stability is expected to drive upside to Wallstreet forecasts, according to Levy.

Do you agree with the Wallstreet view on Tesla Stock? Let us know in the comments below. We are also covering Tesla Stock on Youtube this week, be sure to check it out and support YIG.

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The content above is strictly for informational purposes only and is not financial advice nor does it constitute a recommendation. Youth Investment Group has no liability for personal financial interests or investment decisions. You should make your own investment decisions based upon your own research and what you believe is best for you. 

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