Tesla Inc. TSLA shares were soaring in premarket trading on Thursday.
What Happened: The upside comes after the electric vehicle maker reported earnings per share and revenue ahead of consensus estimates. While formally guiding deliveries to 1.8 million units for 2023, CEO Elon Musk said the company’s internal target was around two million units. This would mean the long-term deliveries target for 50% growth will likely be hit.
Comments from the earnings call were upbeat, with Musk suggesting orders were now about two times of production. Tesla confirmed the itinerary for the start of production of its much-awaited Cybertruck.
Tesla bull Gene Munster said the company is making all the right decisions to navigate through the inclement conditions faced by automakers.
Following the earnings announcement, several analysts upped their price targets for Tesla shares.
Some of the upward revisions include:
- Wedbush’s Daniel Ives: From $175 to $200, while maintaining Outperform rating.
- BofA Securities: From $130 to $155,
- Citi: From $137 to $146.
Key Levels To Watch: If the premarket strength is sustained in Thursday’s regular trading and the stock moves further up, the $163 level could assume importance. If the stock can successfully challenge this level, the next real test could come around the $193 area, which served as support during a consolidation phase in the first half of 2021.
The relative strength index suggests the stock is still below the neutral zone.
Price Action: In premarket trading on Thursday, Tesla was rallying 6.49%, to $153.80, according to Benzinga Pro data.