Tesla (TSLA) shares climbed above $400 as Wall Street sentiment shifted toward the company’s long-term growth strategy. Strengthening performance in China and progress in autonomous driving fueled the rally.
JPMorgan upgraded Tesla from Underweight to Neutral. The bank highlighted Tesla's potential in physical AI and value beyond vehicle sales.
Tesla recently launched its Full Self-Driving (FSD) system in China. The company also filed for a new permit to operate a Robotaxi fleet in Nevada.
Improved gross margins in recent quarterly results bolstered confidence in operational efficiency. Investors are shifting focus from slowing electric vehicle demand to Tesla's broader technology ecosystem.