Wells Fargo Reiterates ‘Sell’ Rating on Tesla, Inc. (TSLA); Morgan Stanley Maintains ‘Buy’

With a year-to-date decline in share price, along with strong hedge fund interest, Tesla, Inc. (NASDAQ:TSLA) secures a place on our list of the 11 Best Rebound Stocks to Buy According to Hedge Funds.

Wells Fargo Reiterates ‘Sell’ Rating on Tesla, Inc. (TSLA); Morgan Stanley Maintains ‘Buy’

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Tesla, Inc. (NASDAQ:TSLA) is making progress on its autonomous ambitions as the Texas Department of Licensing and Regulation released a permit for its Tesla Robotaxi LLC, recognizing it as a transportation network company. With this permit, Tesla is set to expand beyond Austin, challenging Uber, Lyft, and Waymo. The permit is valid until August 6, 2026, providing Tesla with a year to scale.

However, following the approval, Wells Fargo reiterated a ‘Sell’ rating with a $120 target, citing valuation concerns. Meanwhile, on August 10, Morgan Stanley reiterated its ‘Buy’ rating on Tesla, Inc. (NASDAQ:TSLA) with a $410 target. The analyst’s bullish stance is attributed to the company’s long-term growth potential.

Tesla, Inc. (NASDAQ:TSLA) manufactures and sells electric vehicles, energy generation, and storage products globally. It is included in our list of the Best Rebound Stocks To Buy.

While we acknowledge the potential of TSLA to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TSLA and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.