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Wall Street’s Dilemma: What Are Tesla’s Shares Worth?

  • Wide disparity in price targets highlights valuation struggle
  • Tesla can be valued as climate-change innovation ETF, MS says
Photographer: David Paul Morris/Bloomberg
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For all the headline-making drama surrounding Elon Musk and his brainchild Tesla Inc., investors were rewarded handsomely for their patience this year.

Now that the company is maturing into blue-chip status with its addition to the S&P 500 Index this month, what happens next may boil down to some simple questions: What type of company is Tesla exactly? And how should the stock be valued? Wall Street’s answers, however, are wildly different -- Goldman Sachs has a price target of $780, while JPMorgan Chase’s is $90.