Tesla Motors Inc (NASDAQ:TSLA) shares continue to defy odds and push higher and higher. Today they’re up another 1 percent, not a big deal in the grand scheme of things, but nonetheless a sign that demand for the stock is still high.
CEO Musk’s success affecting Tesla, SolarCity?
This morning Tesla CEO Elon Musk is coming off the successful launch of his Falcon 9 rocket. According to Reuters, it launched in California at Vandenberg Air Force Base, marking a major milestone for his company SpaceX and carrying Cassiope, a rather small science satellite, into orbit. His goal in the launch was to get the first-state rocket of the Falcon to land easily and safely so that they could collect the motors. Those motors make up about 75 percent of the cost of the rocket.
Musk certainly has his hands full with SpaceX as well as Tesla Motors Inc (NASDAQ:TSLA) and SolarCity Corp (NASDAQ:SCTY). But just how much is his success with one company boosting the prices of the others? Interestingly enough, SolarCity Corp (NASDAQ:SCTY) shares also rose more than 1 percent in trading on Monday. Of course 1 percent still is well within the bounds of a so-called “normal” stock movement of 3 percent either way.
How high will Tesla go?
Both Tesla Motors Inc (NASDAQ:TSLA) and SolarCity have done incredibly well this year, although Tesla is by far the star of the show. It has risen more than 400 percent this year today as analysts and even Musk himself questions just how high Tesla shares will go.
Wedbush analysts raised their price target for Tesla last week after touring the company’s facility. They were pretty impressed with Musk’s operation, but they still remain Neutral on the stock because of just how high it has gotten in such a short amount of time. So will the automaker be able to avoid a stock crash? Every earnings report and announcement adds a new layer to the company and has the potential to impact its stock in a big way. All eyes will be watching to see if Tesla Motors Inc (NASDAQ:TSLA) hits its targets in the next report.