Tesla launched its Q2 2020 earnings report final evening, and analysts responded with a flood of price goal will increase for Tesla stock (NASDAQ:TSLA). We’re lastly beginning to see a major variety of analysts with price targets in extra of $1,000, though the corporate’s valuation nonetheless provides most analysts pause. The automaker reported $6 billion in income and non-GAAP earnings of $2.18 per share, in comparison with the consensus numbers of $5.2 billion in gross sales and losses of 48 cents per share. Auto revenues got here in at $5.18 billion, whereas consensus had been anticipating $5.15 billion. Valuation because the elephant within the room after Tesla Q2 2020 earnings Canaccord Genuity analyst Jed Dorsheimer boosted his price goal for Tesla stock from $650 to $1,623 however maintained his Maintain score following the Q2 2020 earnings report. He sees three elements that would drive sentiment on Tesla stock even greater. Q2 2020 hedge fund letters, conferences and extra They’re the upcoming battery day and different bulletins about know-how, knowledge factors in regards to the Semi and Cybertruck and worthwhile power BU going into wildfire and hurricane season. He famous that valuation will proceed to be a priority for a lot of however that it’s a concern with all “category-killing opportunities or unicorns.” He additionally expects momentum for Tesla stock to proceed amid the opportunity of it being added to the S&P 500. His price goal is 70 instances his 2021 professional forma earnings per share estimate of $23.20. Wedbush analysts raised their price goal for Tesla stock from $1,250 to $1,800 and maintained their Impartial score following the Q2 2020 earnings report. Additionally they set their new bull case at $2,500 a share. Some analysts stay bearish on Tesla stock Many analysts proceed to maintain their price targets for Tesla stock beneath $1,000 after the Q2 2020 earnings report. Morgan Stanley analyst Adam Jonas maintained his Underweight score and $740 price goal on the shares after the report. He famous that Tesla’s Q2 2020 earnings report doesn’t change bulls’ thesis dramatically, however the optimistic outcomes throughout 1 / 4 that was particularly difficult because of the COVID-19 pandemic had been spectacular. Jonas added that the important thing query now’s whether or not Tesla’s Q2 2020 earnings outcomes make its stock simpler to personal or whether or not it markets a prime the place it may be time to promote the shares. He mentioned the reply to that query is determined by your view of the sectors. The tech playbook has been to reward the winners that may compound in the long run. Nonetheless, the “mean-reverting industrial/auto/generalist investor” may take a extra trading-oriented method. Jonas praised the corporate’s optimistic free cash stream results of $418 million as he had been anticipating to see $1 billion in cash burn. The consensus had been $259 million in cash burn. Regulatory credit assist Tesla’s Q2 2020 earnings outcomes RBC Capital Markets analyst Joseph Spak raised his price goal for Tesla stock from $765 to $850 however maintained his Underperform score after the Q2 2020 earnings report. He famous that after once more, the corporate’s outcomes had been aided by regulatory credit, which is a troublesome a part of the enterprise to model. Tesla has mentioned that its long-term plans don’t embrace regulatory credit as a significant driver, however they’ve been lately. In truth, with out regulatory credit, the automaker wouldn’t have turn into eligible to hitch the S&P 500. Spak famous that credit during the last 4 quarters have amounted to about $1.05 billion. The corporate mentioned its regulatory credit may double this yr, which suggests they are going to attain $1.2 billion. It additionally reiterated hits steering of 500,000 car deliveries this yr, though it added that reached that quantity might be tougher on account of provide constraints. Video: High 5 Stocks Amongst Hedge Funds At Insider Monkey we scour a number of sources to uncover the subsequent nice funding thought. Hedge fund sentiment in direction of Tesla reached its all time excessive on the finish of 2019 and Tesla shares greater than tripled this yr. We try to determine different EV revolution winners, so we’re testing this under-the-radar lithium stock. We undergo lists just like the 10 most worthwhile corporations on the planet to select one of the best large-cap stocks to purchase. Although we suggest positions in solely a tiny fraction of the businesses we analyze, we take a look at as many stocks as we will. We learn hedge fund investor letters and take heed to stock pitches at hedge fund conferences. 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