Tesla (TSLA) stock shares surged on Monday, climbing over 10% and leading the rallies among other Magnificent-7 US stocks. Investors were driven to optimism that US President Donald Trump’s tariff plans may not be as wide-reaching as previously anticipated. Indeed, reports that Trump will hold off on bringing in levies on the auto sector on April 2 eased worries that Tesla’s bottom line would be impacted, sending shares upward.
Tesla stock is looking to avoid its 10th straight weekly loss, with Monday painting a promising picture. With a significant endorsement given by the White House, there is the belief that it could be poised to bounce back in a big way. Specifically, its diversification efforts have made it a high-risk, high-reward investment for this year. Now, the past week has shown promising signs for Elon Musk’s EV maker, revealing potential for an even stronger rebound.
Over the last five days, the EV manufacturer has showcased a rather surprising turnaround. Specifically, Tesla is up more than 12%, a reveal from its 20% drop over the last 30 days. Currently sitting at the $276 mark, there are high upsides and some concerning low-end projections that investors are going to have to contend with. Tesla (TSLA) stock is trading in the middle of its 52-week range and below its 200-day simple moving average.
Also Read: US President Donald Trump Says Tariffs Will Help Lower Taxes
How Did Other Mag-7 Stocks Perform? What’s TSLA’s Future Look Like?
Other Magnificent-7 stocks also climbed on Monday, but not as high as TSLA. Apple stock gained 0.4% Monday but is still below the 200-day line. Meanwhile, shares of Meta Platforms (META) rallied 3.1%, and Alphabet rose 1.7%.
Morgan Stanley analyst Adam Jonas wrote in a note that Tesla leveraging artificial intelligence (AI) into its technology can change the game for the stock. AI could smoothen out automated driving challenges leading to robust innovation for the tech giant. “While the journey may be volatile and non-linear, we believe 2025 will be a year in which investors will continue to appreciate and value these existing and nascent industries of embodied AI where we believe Tesla has established a material competitive advantage,” he wrote.
Despite trimming the price target from $430 to $410, Jonas remains optimistic. The Morgan Stanley analyst also gave Tesla stock a ‘Buy’ rating highlighting it as a top pick. Jones highlights that TSLA has chances of surging 65% from its current price and generating massive wealth for investors