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Morgan Stanley Keeps $900 Tesla Price Target Ahead of Earnings -Breaking

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By Sam Boughedda — Ahead of its earnings release after the closing bell on Wednesday, Morgan Stanley analyst Adam Jonas has kept his $900 price target on Tesla Inc (NASDAQ:) stock.

Shares of Tesla dipped 0.1%.

Adam Jonas reiterated his overweight rating on Tesla, saying he expects the company’s Q3 results to be “pretty good.”

“You saw their deliveries beat by nearly 10pct while the rest of the industry is scrambling,” said Jonas.

The Morgan Stanley analyst noted six areas he feels are being underestimated by the market. 

The first primary factor being capital, with Jonas stating that Tesla has more access to capital than its competitors. He also pointed to manufacturing, scale, breadth, geography, and services as other areas where Tesla has the edge over its rivals in the electric vehicle space. 

Jonas pointed out that the price target set assumes that less than 6M units will be produced annually by 2030, which is around half of what CEO Elon Musk has targeted. 

The analyst went on to say that he anticipates we will see a “proliferation of Tesla segments to include compact, pickup truck, HD truck, people-mover/ride share, delivery van, a true Model X replacement, and much more.”

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Mike Robinson
Mike covers the financial, utilities and biotechnology sectors for Street Register. He has been writing about investment and personal finance topics for almost 12 years. Mike has an MBA in Finance from Wake Forest University.