Electric car maker Tesla had its low days at the start of March 2021. But as the market correction ended, all the overvalued assets such as Tesla stock (NASDAQ: TSLA) started to see a sudden increase in stock price. This disruptive volatility in the price of Tesla shares will definitely skyrocket the value of the asset to the moon.
Why did the Tesla stock surge?
The Tesla stock surge is due to the quick boom in the tech stocks of Nasdaq Exchange. Alongside, Tesla tech and EV stocks such as Apple, Nio, Microsoft and Amazon were also up due to the market correction.
The real reason behind the current surge in the Tesla stock price is the call from the Investment firm Mizuho that suggested the investors to buy.
The firm also said, Tesla is a must buy because of the boom in the clean energy market. The investors were very smart to embrace their advice and the stock price quickly surged over 20% in the last 3 days.
Although the stock price was struggling to reach even $600 in the previous week but this week so far the electric car maker share has been doing very good. The stock price is very consistent in the range of $650-$700 for the past day.
Accordingly, Rakesh from Mizuho initiated coverage of Tesla (TSLA) with a Buy rating and set a $775 price target for the shares. This forecast calls for 12% gains over the next 12 months.