The rally began in October when Elon Musk's electric car company surprised Wall Street, turning a profit. The stock has doubled in the past three months. Tesla soared nearly 40% in the past month alone.
According to a CNBC analysis of data from hedge fund trading tool Kensho, two weeks after moves of similar magnitudes, Tesla stock tends to perform well, gaining another 2.4% on average. In these eight similar trading scenarios over the past five years, Tesla stock traded positively 88% of the time — outperforming the S&P 500.
Several factors have contributed to Tesla's run: the company's entrance into China and fourth-quarter delivery numbers published earlier this month that investors read as bullish. On Monday, Oppenheimer pushed Wall Street bullishness on Tesla to a new level, raising its price target to over $600, up from $385.
"We believe the company's risk tolerance, ability to implement learnings from past errors, and larger ambition than peers are beginning to pose an existential threat to transportation companies that are unable or unwilling to innovate at a faster pace," Oppenheimer analyst Colin Rusch said in a note to clients.
Tesla CEO Musk teased some new features for its vehicles over the weekend, including a talking car.