Tesla stock (NASDAQ: TSLA) is having its worst possible year in 2026. The equity has remained in the red for the last six months. It went from a high of $451 to a low of $348, but regained momentum in Q2 climbing above $400. TSLA opened Wednesday’s trading bell at $404, and despite the bearish momentum Bank of America wrote in a note to clients that the EV car manufacturer could bottom out at this level and surge in value. This makes TSLA a must-watch stock as it is regaining a potential upside tick.
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What is Bank of America’s Price Target For Tesla Stock? (TSLA)
Bank of America predicts that Tesla stock could reach a high of $460 next. That’s a profit of $56 per share if traders take an entry position in the equity today. It is also an uptick and return on investment (ROI) of approximately 14% from its current price of $404. Therefore, traders can make $1,140 in profit after an investment of $1,000.
Buying Tesla stock at this level or taking an entry position at the dips if it falls below the $400 range could be beneficial, opening a window of opportunity to make further gains. Analysts from Bank of America noted that Tesla’s full-self-driving (FSD) system is significantly cheaper than competitors’ setups. The note highlighted the role of the Optimus humanoid robot, which can disrupt the manufacturing sector.
Bank of America wrote that while the Optimus is aimed at commercial use, the long-term goal is to bring it for domestic use. Tesla, a company we know of today, will be completely revamped when the day arrives when its products are used for domestic consumption, like household chores. The AI integration would make it more sophisticated, changing the fortunes of Tesla stock. Holding on to TSLA for the next five to 10 years would prove profitable for traders.