قالب وردپرس درنا توس
Home / Business / Ark Air’s Cathie Wood made a weird call in 2018 asking for Tesla’s share price to reach $4,000. Her prediction was realized two years ago.

Ark Air’s Cathie Wood made a weird call in 2018 asking for Tesla’s share price to reach $4,000. Her prediction was realized two years ago.



Katie Wood
  • Cathie Wood of ARK Invest issued a monster call in 2018. He predicted that Tesla will reach $4,000 in five years, which means that the potential upside at the time is about 1200%.
  • When Tesla is struggling to expand the production scale of Model 3 and is facing a liquidity crunch, this troublesome call has been questioned by many people.
  • Tesla soared by more than 7% on Thursday and reached Cathy Wood̵
    7;s $4,000 target price on a split-adjusted basis.
  • The following details the areas where ARK Invest believes Tesla’s stock price may rise.
  • Watch the Tesla deal here.

In 2018, Cathie Wood of ARK Invest made a shocking appeal to Tesla: The stock will reach $4,000 in five years.

Wood’s call has attracted people’s attention because Tesla is facing huge difficulties in expanding production of its popular Model 3, constantly dealing with quality control issues, and the imminent liquidity crunch, which has led some people to think that the company is The verge of bankruptcy.

Even Tesla CEO Elon Musk recently stated that in the “darkest days” of Model 3 production, he had contacted Apple’s Tim Cook. Hope to be acquired by the iPhone manufacturer, but Cook will not attend the meeting.

At the time ARK made its prediction, Tesla shares were trading at approximately $300 per share, which means that a surge to $4,000 would mean about 1200% upside.

Wood doubled Tesla’s phone calls in an open letter to Musk in August 2018, urging him to write “funds safe” on Twitter and not to take the company private.

Tesla reached Wood’s target stock price on Thursday, with a closing price of $816, or $4,080 after the spin-off adjustment. Last summer, Tesla executed a 5 to 1 stock split.

read more: A growth fund manager has beaten 96% of his peers in the past 5 years. He believes that this stock will “dominate” in the next 5 to 10 years. Two of them he believes can grow by 100%.

As Tesla successfully expanded its Model 3 production, Tesla rose rapidly. By 2020, even after closing its California production facility for more than a month during the pandemic, Tesla has failed to achieve its 500,000 unit delivery target of several hundred cars. .

Other factors driving Tesla’s stock price up by 743% in 2020 include its inclusion in the Standard & Poor’s 500 Index in December, and investors offering a premium to electric car manufacturers for Joe Biden’s presidency and his green energy agenda.

As Tesla has achieved Wood’s goal two years ahead of schedule, the company now has a target price of $7,000 for Tesla, or an adjusted split price of $1,400, which has a potential upside of 72% from the closing price on Thursday. .

ARK analyst Sam Korus said last year: “Based on our latest expectations for the decline in the cost and demand for electric vehicles (EV), as well as estimates of the potential profitability of robotaxis, our expectation for TSLA in 2024 is $7,000 per share.”

Tesla’s surge has consolidated Musk’s position as the world’s richest man. The company is currently the fifth-highest company in the S&P 500 by market capitalization, and it recently made it to Facebook.

But not everyone believes that Tesla’s rebound will continue. “Big short” investor Michael Burry said that Tesla’s stock will burst like the 2007 housing bubble.

read more: Bank of America: Buy these 8 US stocks that are going to soar in the first quarter of 2021, and avoid using these two US stocks at all costs

ttts.JPG


Source link