Tesla Stock Surges as Wedbush Raises Price Target to $600, Citing AI and Autonomous Driving Potential

Tesla shares rallied 4% to close at $440.40 on Friday, capping a 32% monthly gain as Wall Street grows increasingly bullish on the electric vehicle maker's artificial intelligence capabilities. Wedbush analyst Dan Ives boosted his price target to $600 from $500 - the highest among covering analysts - while maintaining his Buy rating.

The revised target implies 42% upside from current levels and sits 23% above Tesla's all-time high. Ives sees Tesla reaching a $2 trillion market cap by early 2026, potentially climbing to $3 trillion by year-end in his bull case scenario. 'Tesla is taking major steps in advancing its AI Revolution path with autonomous and robotics front and center,' Ives wrote in his research note.

Market participants await Q3 delivery figures expected in early October, with estimates ranging from 448,000 to 500,000 vehicles. The stock has received 10 price target increases in September alone, yet continues to trade well above the average analyst target of $342.