Tesla has 'run over the shorts and us,' but it has also 'outrun' fundamentals, says Evercore ISI

SpaceX owner and Tesla CEO Elon Musk gestures during a conversation at the E3 gaming convention in Los Angeles, June 13, 2019.
Mike Blake | Reuters

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Following Tesla's meteoric rise this year, which has seen shares surge 92%, many on the Street, including Evercore ISI, are saying the stock has become detached from its fundamentals. On Friday, the firm reiterated its underweight rating on Tesla, while raising its target from $250 to $550, which is 32% below where the stock currently trades.

The firm acknowledged that it missed out on the stock's steep rise, saying the surge "leaves us believing TSLA has 'run-over' the shorts (and us)," but argued that at this point it has also "outrun fundamentals."