Wedbush said Tesla is in an "obviously strong position" and raised its target price to $1,400

$Tesla (TSLA.US)$ Tesla (NASDAQ: TSLA) rose 1.4% before the market. Wedbush reiterated its "Outperform" rating and raised its target price from US$1,100 to US$1,400, saying that the catalysts for entering 2022 include strong Chinese demand and New factories opened in the United States and Germany.

Daniel Ives of Wedbush wrote: "The key to Tesla's overall bull market argument is still China. We estimate that China will account for 40% of electric vehicle manufacturers' deliveries in 2022.

Ives predicts that next year's chip shortage will be alleviated, enabling Tesla to better meet China's growing demand, and the new factory should be able to reduce global production bottlenecks.

The analyst believes that Tesla will deliver 1.4 million to 1.5 million vehicles in 2022, and profitability will be improved.

Article excerpted from the US Stock Research Agency