Tesla Stock: Headed to $220?
Shares of Tesla (NASDAQ: TSLA) were up sharply on Tuesday, fueled by a combination of factors. An upbeat day for the overall stock market, an upgraded rating on the company's financial position from Moody's credit rating agency, and a positve note from an analyst were some of the key reasons for the stock's strong performance.
As investors digest the growth stock's big move higher this week, here's a close look at what's driving the optimism for the electric carmaker from both the analyst and Moody's.
Morgan Stanley analyst Adam Jonas released a note to investors on Tuesday praising Tesla's recent price cuts for its vehicles. This is "rational" business behavior, he contended. The company's leadership and economies of scale in the electric vehicle market simply put Tesla in a spot in which it can bring prices down and be more competitive in the auto market.
Source Fool.com
