Cannacord Raises Tesla’s Price Target to $551

Canaccord Genuity analyst George Gianarikas raised on December 22, 2025, the price target on Tesla to $551 (from $482) while maintaining a ‘Buy’ rating on the stock.

“Overall, yes, 4Q25 delivery expectations are being revised lower.

However, the reset in the US EV market is laying the groundwork for a more durable and attractive long-term demand environment.

At the same time, EV penetration in emerging markets is accelerating, reinforcing Tesla’s potential multi‑year growth runway beyond the US.

Global progress in FSD and the anticipated rollout of a larger robotaxi fleet in 2026 are increasingly important components of the Tesla equity story and could provide sentiment tailwinds.

Recently approved compensation packages for Mr. Musk appear to align incentives and long-term value creation – integrating major platform milestones in autonomy and AI.

Potentially more expansive news flow around the Optimus humanoid robot program in 2026 could further enhance Tesla’s perceived optionality in non-automotive profit pools.

Taken together, these underlying positives outweigh the near-term earnings reset in the valuation framework, supporting an increase in our target price from $482 to $551 even as 4Q25 delivery estimates move lower.

With the other Mag 7 stocks trading at ~21x 2028E EPS, we apply a ~46x (from ~42x) multiple to our $11.98 (from $11.46) in 2028E non-GAAP EPS to achieve a price target of $551.

Along with revising our 4Q25 estimates downward, we updated several aspects of our long-term model – particularly related to energy storage – resulting in a modest increase to our overall outlook.

We view this more than 2x multiple as reasonable given Tesla’s long-duration, generational growth opportunities in areas such as robotics, autonomy, energy storage, and “sustainable abundance,” as well as the recently improved structural backdrop in the U.S.

Admittedly, with this multiple and the operational improvement implied in our 2028 estimates, the margin for error is slim.”

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