10 AI Stocks on Wall Street’s Radar

7. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 104

On June 3^rd, Piper Sandler analyst Alexander Potter reiterated an Overweight rating on Tesla, Inc. (NASDAQ:TSLA) with a $400.00 price target.

The rating reiteration follows an investor call hosted by the firm that featured insights from Jordan Giesige of ’The Limiting Factor’. Noting the company’s unique approach to vertical integration in the automotive industry, analysts pointed out how it is the only car manufacturer actively working to source batteries at scale without relying on China. In particular, Tesla’s in-house production of 4680 batteries is approaching almost zero reliance on Chinese resources.

The analysts further noted in the investor call how Tesla is also planning to produce its own cathode active materials, refine lithium, construct anodes, coat electrodes, assemble cells, and sell vehicles independently. This is a level of integration that will set it apart from other U.S. automotive entities.

While success isn’t guaranteed, the analysts have lauded the company’s strategic plan to reduce its U.S. supply chain’s dependence on China. They also noted that complete isolation from Chinese products is challenging for the next two years, but Tesla’s efforts are praiseworthy.

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