Tesla Stock Hits $440 in 2025 High After Musk’s $1B Buy & Analyst Upgrade

Tesla shares gained nearly 4% on Monday, trading above $440 and setting a new high for 2025. The previous peak of $428.22 was recorded on January 15. The stock has advanced in nine of the past ten sessions and is now up more than 30% over the last month.

The rise follows CEO Elon Musk’s purchase of about $1 billion in Tesla stock last week. The company has also outlined plans to expand its robotaxi service, which is currently operating in Austin, to additional states including Nevada, Florida, and California.

Piper Sandler analyst Alexander Potter raised his price target for Tesla to $500 from $400 after a research trip to China. Potter said local automakers such as Xiaomi, Li Auto, and Leapmotor continue to view Tesla as a reference point for artificial intelligence and autonomous driving technology, even as they surpass it in some areas of vehicle production.

Potter also tested Tesla’s most recent Full Self-Driving (FSD) software, describing it as a significant improvement. He forecast record sales for the third quarter.

Tesla has stated that it intends to expand robotaxi operations, but regulatory approval in California could take years. State rules require extensive testing and multiple permits before large-scale driverless services can begin.

The recent rally has pushed Tesla’s market value back above $1.3 trillion. At current prices, the shares trade at more than 60 times projected earnings, compared with single-digit multiples for traditional automakers. Supporters argue the company’s software and data capabilities justify the premium, while critics question whether future growth will meet expectations.

Tesla shares remain below their all-time high reached in late 2021 but are on track to finish the third quarter at their strongest level of the year.

Also Read: Tesla Faces Federal Scrutiny for Delayed Self-Driving Crash Reporting