Barclays upgraded its Tesla rating to overweight from equal weight and raised its price target from $370 to $450, implying 21% upside from Friday’s close. Analyst Dan Levy believes a combination with SpaceX, which is now widely expected and may include a premium, could drive the stock higher. Elon Musk said last week that a Tesla-SpaceX merger would be a “good idea” and noted that committees had been formed at both companies. Beyond the merger, Barclays expects Tesla’s automotive business to recover after two years of decline, with additional support from robotaxis, the Energy business and exports from Giga Shanghai. Energy shipments could grow by more than 50% in 2027, while robotaxi mileage has accelerated, strengthening the analyst’s confidence in Tesla’s ability to compete with Waymo. Of the 49 analysts covering Tesla, 25 rate it a buy or strong buy and 22 rate it a hold, while the shares have fallen more than 17% year to date.
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