Following a pair of bullish reports from Baird and Bernstein analysts, Tesla shares rose more than 8 percent on Monday afternoon. Tesla stock closed at $263.24 Friday, and reached $285.50 on Monday afternoon.
"We think the [Tesla] setup in sentiment looks relatively favorable for the next few weeks," said Bernstein analyst Toni Sacconaghi in a note to clients on Monday. "We now see the near-term risk-reward for Tesla as relatively skewed to the upside, given the potential for the stock to revert towards the middle of its $270 to $370 range."
An analyst at Baird wrote in a Monday note published after a tour of the company's factory: "Gigafactory 1 creates a significant barrier for competition and manufacturing capability should be a competitive advantage for TSLA over the long term. We believe TSLA's Gigafactory enables the company to drive down costs through an industrialization of battery pack assembly and economies of scale."