Mizuho Raises Tesla Price Target to $530, Backs Robotaxi Momentum

Tesla, Inc. (NASDAQ:TSLA) is one of the Buzzing AI Stocks on Wall Street. On December 16, Mizuho reiterated the stock as “Outperform” and raised its price target to $530 from $475. The firm said it's bullish on Tesla's robotaxi efforts.

"TSLA - reiterate OP, raising PT to $530 from $475."

The stock has been on the radar recently, particularly due to its robotaxi efforts. CEO Elon Musk tweeted earlier how Tesla has been testing robo-taxis without safety monitors in the car. This marks another step forward for the company towards services expansion across the U.S.

While the company’s robo-taxi service launched with safety monitors sitting in the front passenger seat, Musk hopes to remove the monitors by year’s end.

“We believe improvement in the Full Self-Driving [driver assistance technology] could support an accelerated expansion of the robotaxi fleet in Austin, San Francisco, and potentially earlier elimination of the chaperone.” -Mizuho analyst Vijay Rakesh

The analyst looked at Alphabet’s Waymo to figure out how Tesla’s improvements can translate into more robo-taxi business. Waymo delivers 450,000 fully automated rides per week, and aims to reach 1 million trips per week by the end of 2026.

“Excitement continues to build for Tesla’s autonomous vehicle and Robotaxi narrative after at least partly achieving removal of safety monitors by year-end. Yet key questions remain on roll-out timing/scale.” - Barclays analyst Dan Levy said on Monday.

Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives.

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: 10 Trending AI Stocks on Wall Street and 11 AI Stocks Analysts Are Watching Closely.

Disclosure: None.