Particle.news
Download on the App Store

RBC Lifts Tesla Price Target to $500 on Speculative SpaceX Scenario

The firm’s note assigns takeover-related value to Tesla as investors wait for July 22 results that will test whether margins and cash flow justify the premium.

Overview

  • RBC Capital Markets raised its Tesla price target from $475 to $500 on Tuesday, saying its model includes a 25–30% premium tied to an unconfirmed SpaceX acquisition scenario.
  • RBC estimated the SpaceX-related premium adds about 15% to Tesla’s intrinsic value and leaves roughly 19% upside from the stock trading around $419.77.
  • Tesla reported a Q2 delivery beat of about 480,100 vehicles, a roughly 25% year‑over‑year increase, yet shares fell as much as 7% when the numbers were released.
  • Wall Street expects Tesla to report roughly $0.48 EPS on $25.4 billion in revenue for Q2 on July 22, with investors focused on automotive gross margins, energy storage growth, and free cash flow.
  • Recent operational moves that feed future forecasts include a robotaxi rollout in Miami with planned metro expansion, a new six-seat Model Y in the U.S. and Puerto Rico, and an internal $200 weekly cap on employee AI-tool spending.