Cathie Wood forecasts that Tesla’s share price would increase by tenfold to $2,600 in five years
Cathie Wood’s Ark Investment Management LLC is positive on Tesla Inc., expecting the stock to reach $2,600 in five years, or almost ten times its price. Wood stated in an interview with Bloomberg TV that Tesla’s robot taxis would account for 90% of the company’s worth at that period. Tesla has projects in humanoid robotics that Ark hasn’t even included in its pricing projection, she said on Tuesday’s side of the HSBC Global Investment Summit in Hong Kong.
According to Wood, Tesla remains competitive with China’s BYD Co. regarding range and power for a given price. BYD has surpassed Tesla in sales, exceeding $100 billion last year. According to figures released on the company’s website, Tesla remained top in her flagship ARK Innovation ETF, accounting for 10% of the $5.8 billion assets as of March 24. According to an information sheet on Ark’s website, this was down from over 16% by the end of 2024. In a 2023 forecast, Ark predicted Tesla stock would reach $2,000 per share by 2027 as it absorbed market share from established manufacturers. In July, she anticipated that establishing an autonomous taxi platform would spark a nearly tenfold increase in Tesla’s share price. Instead, the electric car maker’s stock has fallen this year despite a four-day rally to over $278.
Sales and shipments have plummeted in critical regions, including Europe and China, as its billionaire inventor, Elon Musk, faces political backlash. Domestic dissatisfaction has also developed over his Department of Government Efficiency’s decision to slash thousands of government positions.
Wood rose to prominence during the height of Covid for her strong comments against epidemic darlings like Tesla, Zoom Video Communications Inc., and Roku Inc. Retail traders accepted some of her ideas, bringing her funds’ holdings to more than $60 billion at their peak in early 2021.
