ARK’s Catherine Wood Predicted, ‘Tesla stock would hit $4,000’: Unbelievable, This is what happened!

Back in 2018, ARK’s Catherine Wood made a monster call predicting that Tesla would hit $4,000 in five years, representing potential upside of about 1,200% at the time. And soon after this prediction, many attacked her, unleashing skeptical comments and verbal snubbing. But now her prediction has attained fruition!

When in 2018, Wood made this call many raised eyebrows because it came at a time when Tesla was facing immense difficulties in scaling up production of its popular Model 3, was constantly dealing with quality control issues, and had an imminent liquidity crunch, which led some to believe that the company was on the verge of bankruptcy.

Even Tesla CEO Elon Musk said recently that during the “darkest days” of Model 3 production he approached Apple’s Tim Cook about being acquired by the iPhone maker, but Cook wouldn’t take the meeting.

You May Also Like To Read: Half a million cars, Tesla hits a huge milestone in 2020!

Moving on, Wood became even more bullish in February 2020, issuing a new bull case for Tesla shares to hit $7,000 by 2024.

Exclusives: Tesla Over $800!

Tesla Cars
Tesla Cars

Wood’s split-adjusted target price of $1,400 is based on Tesla seeing gross margins approach 40%, capital efficiency improving through production scale and the evolution of autonomous capabilities and penetration of autonomous taxi service.

Wood gives the $1,400 price target a 50% chance of hitting. The bear case of $300 is based on 3.2 million cars sold in 2024 and has a 25% chance of likelihood.

Why did Tesla stock skyrocketed on Monday
Why did Tesla stock skyrocketed on Monday

The bull case for Tesla from Wood sees shares of Tesla hitting $3,000.

And now Tesla has rallied over Over $800! Of late, Tesla has made it sensational when they hit a milestone with half a million cars. Apart from this, on Thursday, Tesla hit Wood’s price target, with shares closing at $816, or $4,080 on a split adjusted basis. Last Summer, Tesla executed a 5-for-1 stock split. The meteoric rise in Tesla came as the company successfully scaled production of its Model 3. In 2020, Tesla missed its 500,000 unit delivery goal by just a few hundred vehicles, even amid a pandemic that shut down its California production facility for more than a month.

With Tesla hitting Wood’s target two years ahead of schedule, the firm now has a $7,000 price target for Tesla, or $1,400 split adjusted, representing potential upside of 72% from Thursday’s close.

“Based on our updated expectations for electric vehicle (EV) cost declines and demand, as well as our estimates for the potential profitability of robotaxis, our 2024 expected value per share for TSLA is $7,000,” ARK analyst Sam Korus said last year.

This unexpected upsurge in Tesla has cemented Musk as the richest man in the world and the company is now the fifth most valuable company in the S&P 500!

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