Tesla Motors Inc (NASDAQ:TSLA) shares gained in the last trading session, following the news that the trademark dispute with China has been settled. Analysts at Pacific Crest securities assigned it a price target of $316 in their research note. Morgan Stanley analysts also applauded the next in line Model X crossover, driving the shares even higher.

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Analysts confident on Tesla

Morgan Stanley said in its report that Model X will achieve a higher milestone than Model S and will be “ready to feast” on the premium SUV market.  Morgan Stanley assigned a price target of $320, and claim Tesla as their top pick among the U.S. car makers.

Separately, Pacific Crest analysts, also, echoed the sentiments of Morgan Stanley, and assigned the stock an Outperform rating acknowledging the potential if Tesla enhances its production capacity.

Morgan Stanley analyst, Adam Jones said that Model X crossover will make Model S look like Chopped liver, and hit back on those calling Tesla as the one time wonder.  In its luxury segment, the company has released just two cars, Model S and Model X, which is in making. Tesla Model 3 is targeting the wider consumer segment priced at around $35,000. The car is expected to launch in 2017.

Tesla has beaten analysts estimate with its earnings report issued last Thursday. Though the current quarter outlook is below analyst’s expectations, shares have rallied more than 10% since then. This rising trend has moved the stock over the lateral resistance, “putting shares back on track to move toward all-time highs sooner rather than later,” says a report from InvestorPlace by Serge Berger.

High hopes from China

The Palo Alto-based EV manufacturer concluded the dispute with a Chinese businessman, who owned the trademark “Tesla” in the country, years before Tesla came in the country. Tesla puts high hopes on China, and Wall Street is keeping a close eye on the company’s strategy of handling its distribution and servicing in the country.

Among the string of Investment banking firms who rated Tesla shares, Morgan Stanley assigned $320, Dougherty & Co. sticks to $325, and Pacific Crest gave price target of $316. Other research firms kept their price targets in the range of $250 to $275 mark. Goldman Sachs decided to remain Neutral on the stock and raised the price target from $200 to $210, implying a 16% downside to the recent stock prices.