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Bank of America Reinstates Tesla at Buy With $460 Target

The firm says Tesla’s Full Self-Driving lead positions the company for a larger robotaxi business.

Overview

  • Tesla shares rose about 2% to roughly $400 in early Wednesday trading, though the stock remains about 13% lower for the year.
  • Bank of America estimates Optimus at over $30 billion and the Energy division at $90 billion, highlighting long-term optionality beyond vehicle sales.
  • The bank cites Tesla’s camera-only autonomy approach and expanding real‑world data as competitive advantages for scaling robotaxis more profitably than rivals.
  • Tesla began robotaxi service in Austin last June and plans to expand to nine additional cities in the first half of 2026.
  • Sentiment stays split with only 44% of analysts rating the stock a Buy, GLJ Research maintaining a Sell, and a federal judge upholding a $243 million Autopilot verdict as legal risk persists.