Tesla (TSLA) shares remain in focus after its chief executive Elon Musk revealed plans of going all-in on the EV maker’s artificial intelligence (AI) future in a post on X.
The billionaire’s X posts over the weekend confirmed that he’s “back to working 7 days” on TSLA and “now it’s game on” for the company’s AI ambitions.
At the time of writing, Tesla stock is down some 25% versus its year-to-date highs.
Musk’s renewed commitment to artificial intelligence is a significant boost to confidence for TSLA shareholders.
The chief executive’s “game on” declaration signals intensified focus on autonomous driving, robotics, and software, areas with high-margin potential and long-term scalability.
Note that AI-focused initiatives could prove a $1 trillion boost to the automaker’s valuation over time, as per Dan Ives, a senior Wedbush Securities analyst.
Additionally, with the billionaire back to working “7 days” on the Austin-headquartered Tesla, investors see stronger execution in the second half of 2025.
Together, all of this could drive TSLA shares up in the coming months.
Despite Elon Musk’s positive remarks, Bank of America analysts are not entirely convinced that Tesla shares will be able to outperform in the near term.
The investment firm expects TSLA to report disappointing financials for its Q2 on Wednesday, July 23 as deliveries came in down 14% for the second quarter on July 2.
In their research note, BofA analysts agreed that Tesla manufactures all vehicles in the U.S. and “with a high proportion of content made in North America,” but said the tariff risk, nonetheless, is not “insignificant” for the electric vehicle maker in 2025.
Bank of America currently rates TSLA stock at “Neutral” with a price objective of $341 indicating potential upside of a tad above 3% from current levels.
Other Wall Street analysts are even more cautious on Tesla stock at the time of writing.
According to Barchart, the consensus rating on TSLA shares currently sits at “Hold” only with the mean target of about $297 suggesting potential downside of some 10% from here.
