Tesla stock hits new all-time high as Wedbush raises price target again

Tesla ( TSLA ) shares traded at a new record high on Monday after Wedbush again raised its price target, arguing that the electric carmaker’s self-driving car and artificial intelligence (AI) efforts will get a boost from the new Trump administration.

Wedbush raised its price target to $515 from $400 and gave a “bull case” scenario of $650 next year. The move came about a month after Wedbush initially raised its price target to $400 from $300 for similar reasons.

Wedbush Says Trump Administration Will Be ‘Total Game Changer’ For Tesla

The analysts wrote in a note to clients that “the Trump White House next 4 years will be a ‘total game changer’ for the autonomous and AI story for Tesla and (CEO Elon) Musk over the coming years.”

They estimate that the fully self-driving (FSD) and artificial intelligence opportunity is worth at least $1 trillion alone, and they “fully expect” the Trump administration to accelerate these initiatives “as the federal regulatory cobweb that Musk & Co. encountered over the last few years around FSD/autonomous clearing significantly during a new Trump era.”

The analysts claimed that Tesla could have a market value of $2 trillion by the end of 2025 as the self-driving vision takes shape and due to an expected jump in deliveries of electric cars in China.

Wedbush maintained an “outperform” rating on the stock.

Shares of Tesla recently rose 1% to $440.67 after hitting a record $447.41 shortly after the markets opened. They have added more than three-quarters of their value this year.