Morgan Stanley conducted Tesla's analysis in collaboration with its Asian Technology team (led by Shawn Kim) and expresses rising confidence in Tesla's ability to unleash even greater potential on Battery Day on September 22nd.
Jonas named the potential to grow the company's battery business as a key driver for mid-term profit. He also noted that factors other than the sale and delivery of vehicles--which have traditionally provided both top and bottom margins for the world's most valuable automaker--may begin to have increasing influence on Tesla's future success.
Based on the data that has been collected, Morgan Stanley is now valuing Tesla considering its potential 3rd party battery and EV powertrain supply businesses.
On August 13 Morgan Stanley raised its Tesla (TSLA) target price to $1,360 and updated its "bull case scenario" to $2,636.
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