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Tesla’s (TSLA) stock received an important target price hike as an analyst sees Tesla delivering 200,000 Cybertrucks per year starting in 2023.

A lot of people are still not sure what to think of the Tesla Cybertruck, and that includes some Wall Street analysts.

Now more than a week after the unveiling of the electric pickup truck, Piper Jaffray analyst Alexander Potter is out with a new note to clients indicating that he increased his price target on Tesla’s stock as he now factors in Cybertruck deliveries.

Potter said that he was skeptical about the Cybertruck at first, but like many others, he has warmed up to the idea.

He is now completely on board:

I began considering the possibility that ALL OTHER pickup trucks might actually be pretty crummy, and that Tesla’s Cybertruck is the only pickup worth ordering.

The analyst thinks that it is possible that Tesla could deliver 200,000 Cybertrucks per year starting in 2023.

At the unveiling, Tesla announced that the first deliveries would happen in “late 2021.”

Potter says that there are a lot of things to like about Tesla at the moment:

These include high-volume manufacturing, impressive opex control, and frugal capital spending.

The analyst announced that he is raising his price target on Tesla’s stock (TSLA) from $372 to $423 per share.

Alexander Potter is ranked No. 4,394 out of 5,717 analysts on TipRanks with a success rate of 50% and an average return of -1.1%. He has been holding a “buy” rating on Tesla’s stock for the past two years:

While the rest of the market opened significantly down, Tesla’s stock (TSLA) is slightly up today.

Electrek’s Take

I think this sounds about right. I actually see the potential for even higher volumes of Cybertrucks per year, but if we are talking about 2023, I think 200,000 vehicles make sense.

I’d like to see Tesla announce a brand-new factory in the US or Canada to build the Cybertruck and plan for a capacity of about 300,000 units per year at the factory.

Considering the amount of batteries that would require, it would make sense to also have battery cell production at the same location.

Gigafactory 1 might be an option.

It will be interesting to see how this plays out, because this is going to be a multibillion-dollar project wherever it ends up.

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