Shares of Tesla (TSLA 0.03%) popped on Monday, with shares rising as much as 8.5%. As of 10:17 a.m. EDT, the stock was up 7.3%
The electric-car maker's move higher was likely primarily fueled by a big jump in the overall stock market today. But an upgraded rating and increased price target for Tesla stock from an analyst probably helped, too.
Highlighting the market's rise on Monday, the S&P 500 was up 4.8% at the time of this writing. The market may be rebounding from last week's sell-off and from the overall market decline since mid-February. Furthermore, some investors may be encouraged by signs of progress on slowing the spread of the coronavirus; daily death rates from COVID-19 declined for the first time in New York State on Sunday, coming in at 594 versus 630 on Saturday.
Meanwhile, Jefferies analyst Philippe Houchois increased his 12-month price target for Tesla shares from $650 to $800 and changed his rating on the stock from hold to buy. Some of the catalysts he cited for the company included stable average selling prices, sales of zero-emission vehicle credits, and "a positive [electric vehicle] sum-game."
Tesla recently reported better-than-expected first-quarter deliveries. While its 40% year-over-year increase in deliveries during the period was impressive, it was just as notable that Tesla didn't withdraw its full-year outlook when it released its latest numbers. The company is still apparently aiming to deliver more than 500,000 vehicles this year, up from about 368,000 in 2019.