Cathie Wood Predicts Tesla Stock Will Hit $2,600 in 5 Years. Here's What Is Much More Likely to Happen.
Earlier this year, Cathie Wood made another bold prediction about Tesla (NASDAQ: TSLA). The founder of ARK Invest -- one of the most popular providers of actively managed exchange-traded funds (ETFs) -- said that Tesla stock would hit $2,600 in five years.That would be more than 10 times its current price of about $225 and would mean the company would be worth close to $10 trillion in market capitalization.This is a fantasy. Investors need to forget these uber-optimistic bull cases for Tesla and look at the underlying fundamentals of the business, which are not pretty. It is extremely unlikely that the stock will rise 10-fold in the next five years. Here's what's more likely to happen instead.Continue reading
Earlier this year, Cathie Wood made another bold prediction about Tesla (NASDAQ: TSLA). The founder of ARK Invest -- one of the most popular providers of actively managed exchange-traded funds (ETFs) -- said that Tesla stock would hit $2,600 in five years.
That would be more than 10 times its current price of about $225 and would mean the company would be worth close to $10 trillion in market capitalization.
This is a fantasy. Investors need to forget these uber-optimistic bull cases for Tesla and look at the underlying fundamentals of the business, which are not pretty. It is extremely unlikely that the stock will rise 10-fold in the next five years. Here's what's more likely to happen instead.