Wedbush estimates the ease of components shortage during the next year which would ramp EV deliveries.
The Wedbush Analyst, Daniel Ives, also say that it would drive Tesla to have the capacity to produce about 2 million cars annually by the year end.
Last June, Elon Musk said “Our biggest challenge is supply chain, especially microcontroller chips. Never seen anything like it.” – confirming the worldwide short-term problem for the EVs and many other sectors.
Tesla is in a strong position heading into 2022, with catalysts including robust Chinese demand and new factory openings in the US and Germany, according to Wedbush. Shares in the electric-vehicle maker have almost 30% upside over the next 12 months, analyst Daniel Ives wrote in a note.
“Right now Tesla has a high-class problem of demand outstripping supply.”
Daniel Ives, Wedbush Analyst
“The linchpin to the overall bull thesis on Tesla remains China, which we estimate will represent 40% of deliveries for the EV maker in 2022,” Ives said, reiterating his outperform rating and $1,400 price target.
“The linchpin to the overall bull thesis on Tesla remains China, which we estimate will represent 40% of deliveries for the EV maker in 2022.”
Daniel Ives, Wedbush Analyst