When Elon Musk is not occupied attempting to take over Mars, getting in trouble for his political remarks, or experimenting with AI, he’s going about mildly shattering stock market charts on our home planet. Tesla’s stock price, which was previously assumed to be simmering down after a riotous season, is now going the extra mile around.
Tesla keeps on building momentum, rising 0.51% in Tuesday trading to an intraday peak of $354.99, which is its highest since February. It closed at $343.82, a spectacular 60% comeback from April lows, as investors soak up new indications from Elon Musk on AI integration and forthcoming cross-company synergies.
Tesla’s 3-Month High Stock
Tuesday’s action brings in a strong comeback that has seen Tesla recover more than 60% of its value from multi-month lows. The new enthusiasm among investors is not only driven by refining technicals, but also by Musk’s increasing emphasis on AI as a basis of Tesla’s long-term strategy.
In a CNBC interview, Musk highlighted that Tesla and his AI company xAI will keep on buying chips from Nvidia and AMD, two of the dominant players whose technology lies beneath the training of AI models. Musk said,
“A few years ago, I made a very obvious prediction, which is that the limitation on AI will be chips.”
He emphasized that hardware will be the determining factor in this race.
200,000 GPUs & Expanding Muskonomy
Musk announced that xAI has already deployed 200,000 GPUs in its Memphis-based Colossus center, boasting it as “the most powerful training cluster in the world today.” With so much ambition, the company is planning a 1 million GPU expansion project that is already in the works. While Musk highlighted that there are no current plans to merge Tesla and xAI, he did not close the door on a merger in the future, it depends upon the shareholders’ approval.
Since xAI has already invested almost $230 million on Tesla Megapacks for energy storage, the friendship is more than symbolic, it’s functional. Individual investors are increasingly seeing Musk’s expanding network of firms like Tesla, xAI, SpaceX, as one cohesive “Muskonomy,” with overlapping assets and strategic intersections that erase distinctions between discrete entities.
Golden Cross Sparks Momentum
From a technical standpoint, Tesla’s chart is lighting up with bullish indications. Most impressively, a “golden cross” pattern, in which the 50-day EMA crossed above the 200-day EMA. This crossover, commonly regarded as a bullish indicator of momentum, has only emerged a few times in Tesla’s trading history and tends to pave the way for big rallies.
Major support currently stands at $325, which is a former resistance level. With prices now close to the 50% Fibonacci retracement of December’s bearish trend, a breakthrough above recent levels could set the stage for a move towards $380, and potentially more than $400 in the weeks ahead. A push towards the all-time high of $475 is not impossible if momentum continues to maintain its grip.
Analysts Mixed Price Targets with Cathie Wood’s $2,600 Call
Tesla bulls have better technical graphs to base their argument on. Cathie Wood of ARK Invest has recently reaffirmed a $2,600 price target, implying an 800% increase over current prices. Her reasoning is based on Tesla’s transforming identity as a technology and AI platform rather than simply being an auto manufacturer. While Morgan Stanley has a $410 price target, others are still bearish, cautioning that valuations are getting stretched, particularly as interest rates remain high and regulatory risks are looming. Goldman Sachs has a price target of $235, Barclays with a $275 price target, and 24/7 Wall Street has set its price target to $352.99.
Tesla Shares Prediction 2025 Table
| Analyst/Institution | Price Target | Timeframe | Rating/Stance | Key Thesis |
|---|---|---|---|---|
| Cathie Wood (ARK Invest) | $2,600 | 5 years (2030) | Bullish | 90% of value from robotaxis; expects cheaper $30K EV model |
| Morgan Stanley (Adam Jonas) | $410 | 12 months | Overweight | Robotics and “Embodied AI” as key growth drivers |
| Goldman Sachs | $235 | 12 months | Neutral | Concerns about tariff impacts on volumes |
| Barclays | $275 | 12 months | Equalweight | Weak fundamentals and challenges in volume growth |
| 24/7 Wall Street | $352.99 | 12 months | Bullish | Revenue growth from $112B (2025) to $297B (2030) |
Tesla’s Solid AI Growth
Tesla’s climb is no longer simply about electric cars, rather it’s about the narrative of growth rooted in AI, energy infrastructure, and Musk’s cross-company synergies. The recent actions by the company indicate a shift towards becoming a more diversified tech and energy platform with a presence in some of the most vital growth areas of the coming decade.
For shareholders, this means that Tesla’s stock will more and more act less like a carmaker and more like an AI-enabled tech behemoth. Sure, there are risks involved, from regulatory burdens to geopolitical chip vulnerabilities, but the bullish case for Tesla’s AI growth seems solid. The golden cross is a technical indicator perhaps, but it also indicates that Tesla is passing into a new age.
Author