J.P. Morgan upgraded Tesla to neutral from underweight on Friday. The firm increased its price target from $145 to $475, a revision of more than 200%.
Analysts believe Tesla's valuation is increasingly driven by autonomous driving and robotics rather than near-term earnings. The bank cited Tesla's vertical integration in hardware and software as a key advantage.
Projections suggest services and autonomy-linked businesses could account for nearly half of revenue growth by 2030. Tesla shares were down marginally in pre-market trading following the news.