10 High Flying AI Stocks This Week

3. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 126

Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives. On March 10, Morgan Stanley kept an “Overweight” rating on the stock with a $430 price target. The analyst told investors in a research note that the stock is down from its December highs, and that this pullback is a buying opportunity for the “embodied AI compounder”.

The factors responsible for this pullback are poor sales data, negative brand sentiment, and market de-grossing, the analyst noted. However, several events could serve as catalysts for the stock, including the Austin robotaxi unveil scheduled sometime in June-August, the likely pull-forward of updated Federal rulemaking related to autonomous vehicle technologies, and an AI/Humanoid day showcasing the latest capabilities of Tesla’s Optimus.