11 Stocks That Will Go to the Moon According to Reddit

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2. Tesla Inc. (NASDAQ:TSLA)

Upside Potential as of March 3: 40.62%

Number of Hedge Fund Holders: 126

Tesla Inc. (NASDAQ:TSLA) designs, manufactures, and sells EVs and energy solutions globally through its Automotive and Energy Generation and Storage segments. It utilizes direct sales, online platforms, and channel partners to reach customers. It’s also focusing on accelerating the world’s transition to sustainable energy.

On February 25, Morgan Stanley’s Adam Jones reiterated an Overweight rating for this company with a $430.00 price target. The firm noted that the company’s integration of AI and robotics will drive growth and innovation. Therefore, the company’s primary focus remains its Full Self-Driving (FSD) and autonomous vehicle technology. In Q4 2024, it achieved an annualized vehicle delivery rate of nearly 2 million, and the Model Y was the top-selling vehicle globally in 2024. Tesla Inc. (NASDAQ:TSLA) plans to launch unsupervised FSD in Austin by June 2025, and potentially expand it to other US regions by year-end. It’s already using autonomous vehicles at its Fremont factory.

The company is receiving interest from other car manufacturers in licensing FSD technology, but will prioritize high-volume partnerships. Tesla Inc. (NASDAQ:TSLA) believes autonomous vehicles will drastically increase usage, potentially from 10 hours per week to 50-55 hours. It’s now working to resolve battery pack constraints to support production growth.

Baron Partners Fund Baron Partners Fund is highly optimistic about Tesla Inc.’s (NASDAQ:TSLA) growth, driven by strong performance in energy and automotive, advancements in AI, upcoming vehicle launches, and potential regulatory tailwinds. Here’s what is said in its Q4 2024 investor letter:

“Tesla, Inc. (NASDAQ:TSLA) designs, manufactures, and sells electric vehicles, related software and components, and solar and energy storage products. Shares rose on growth in the energy segment, the promise of new model launches in 2025, and increasing investor confidence in Tesla’s AI initiatives. Despite macroeconomic challenges, delivery data in major markets like China have shown considerable improvement. The energy and automotive segments demonstrated stronger-than-expected profitability. Tesla also expanded its advanced computing center in Texas, released improved version of its software-enhanced driving solution, and is set to launch new mass market vehicles years after the initial rollouts of Models 3 and Y. Expectations of deregulation under the incoming administration point to the potential acceleration of new technology rollouts, which could enhance Tesla’s leadership position in real world AI and bolster investor confidence that Tesla will benefit from these large and attractive growth opportunities.”

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