Cathie Wood Maintains Bullish Stance on Tesla, Predicts 833% Stock Surge by 2024
Cathie Wood, CEO and Chief Investment Officer of Ark Invest, remains steadfast in her optimistic outlook for Tesla’s stock performance, despite recent market declines. Wood has reiterated her ambitious price target of $2,600 for Tesla shares by 2024, projecting a staggering 833% increase from current levels.
During a recent town hall meeting, Tesla CEO Elon Musk acknowledged Wood’s foresight, praising her ability to recognize the company’s potential. This endorsement comes as Wood reaffirms her bullish stance on Tesla, predicting significant stock appreciation by the end of the decade.
Tesla shares have experienced a sell-off in recent weeks, currently trading around $278. Wood attributes this decline to broader economic issues and political pressures but maintains confidence in Tesla’s long-term prospects. She cited vandalism and protests against Tesla vehicles, linked to Musk’s government cost-cutting initiatives, as temporary factors affecting the stock’s performance.
Looking ahead, Wood sees several catalysts for Tesla’s growth. New models, including a refreshed Model Y and a potential low-cost Tesla, could drive future sales. Additionally, she expressed particular optimism about Tesla’s upcoming robotaxi service in Austin, Texas, which she believes could significantly contribute to the company’s value over the next five years.
Ark Invest has increased its Tesla holdings amid the stock’s recent decline. As of the latest data, Tesla accounts for 11% of the Ark Innovation ETF, valued at $651 million. This move underscores Wood’s conviction in Tesla’s future performance.
However, despite Wood’s confidence in Tesla, Ark Invest’s fund has underperformed the market recently. Over the past year, ARKK gained 8.3%, trailing the S&P 500’s 10.5% gain. The fund has also experienced a 15% loss over the last three years, contrasting with the benchmark index’s gains.
As Tesla navigates economic and political challenges, investors and industry observers will be closely watching to see if Wood’s bold predictions for the electric vehicle giant come to fruition.
