Tesla Stock (TSLA) Surges as Analyst Touts AI Leadership

Tesla shares rallied more than 5% yesterday, extending a six-month gain of 72%, after Melius Research initiated coverage with a Buy rating and $520 price target. Analyst Rob Wertheimer called the stock "a must-own" in the AI era, citing Tesla's unique positioning to lead the next wave of technological transformation.

The electric vehicle Maker stands to benefit disproportionately from artificial intelligence advancements, particularly in autonomous driving. Wertheimer highlighted Elon Musk's ecosystem of companies—Tesla, SpaceX, and xAI—as demonstrating unmatched speed in deploying cutting-edge technology. xAI's rapid data center deployment was noted as particularly impressive within the competitive AI landscape.

Tesla's history of unconventional problem-solving, including its much-criticized but ultimately successful tent-based production lines, demonstrates the agility needed to capitalize on AI disruption. The company's tight integration between hardware and software development creates a structural advantage in the race toward autonomous vehicles and robotics.