Shares of electric-car maker Tesla (TSLA 11.00%) moved higher on Friday, climbing more than 3%. Trading at over $843 at market close, the stock is only 6% off its 52-week high.
The growth stock's gain was likely fueled both by an upbeat day in the overall market and an analyst's increased price target for the shares.
On Friday, Jefferies analyst Philippe Houchois boosted his price target for Tesla stock from $850 to $950. In addition, he reiterated a buy rating. The price target represents more than 11% upside from where the stock traded at market close on Friday.
The enhanced view for shares reflects a more optimistic forecast for Tesla's earnings before interest and taxes in 2022 and 2023 based on sales momentum and efforts to further scale its manufacturing with new factories.
More importantly, Houchois believes legacy automakers are failing to close the gap on Tesla's lead.
Also likely helping Tesla stock on Friday was an upbeat day for the overall market. The S&P 500 rose 0.75%.
Investors will get more insight into the company's momentum when it reports its third-quarter results, scheduled for Wednesday, Oct. 20. With deliveries jumping 73% year over year during the period, the automaker's top- and bottom-line growth will likely be impressive, too.