Tesla (TSLA) a 'Buy' as Pullback Triggers Favorable Risk-Reward: TD Cowen Analyst

Tesla, Inc. (NASDAQ:TSLA) is one of the best AI stocks to buy, according to billionaire Stanley Druckenmiller. On July 24, TD Cowen analyst Itay Michaeli reiterated a ‘Buy’ rating on the stock and a $374 price target. david-von-diemar-ZBWn5DvO0hg-unsplash The bullish stance comes as the analyst reiterates that the recent dip pullback has tilted the stock’s risk/reward favorably amid emerging new catalysts. The electric vehicle giant has already announced it has started building its more affordable model, with volume production planned for the second half of the year. The company plans to ramp up production of the affordable model, having suffered a major blow with the signing into law of the One Big Beautiful bill Act. With the new bill, there will no longer be a $7,500 tax credit that was the catalyst behind Tesla ramping up sales of its high-end models. To mitigate the expiration of the tax credits, Tesla has also confirmed plans to ramp up production of its purpose-built robotaxi, starting in 2026. Tesla, Inc. (NASDAQ:TSLA) designs, manufactures, sells, and leases electric vehicles, as well as energy generation and storage systems. It also leverages artificial intelligence technology to train cars to drive themselves and create useful humanoid robots. While we acknowledge the potential of TSLA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Defensive Stocks Billionaires are Buying amid US Trade Tariff Uncertainty and 11 Best 52-Week High Stocks to Buy Now. Disclosure: None. This article is originally published at Insider Monkey.