Tesla (TSLA) shares are reclaiming some of their recent losses this morning after President Donald Trump said he’ll buy a brand-new Tesla vehicle as a show of support for his billionaire ally Elon Musk.
Trump’s comment arrives in the wake of “Tesla Takedown” protests related to Musk’s role leading the Department of Government Efficiency, the president’s team in charge of trimming federal spending by up to $1 trillion.
While the protests first broke out last month in the U.S., they have since spread internationally to Canada and Europe, adding to the pressure on the TSLA stock price in 2025.
However, a senior Morgan Stanley analyst recommends buying the dip in Tesla stock as shares could recover rather swiftly in the coming weeks and months.
Is Trump Buying Tesla a Reason to Invest in the EV Stock?
Morgan Stanley analyst Adam Jonas continues to see Tesla as a top pick for 2025 despite continued weakness in the EV stock that’s now trading nearly 50% below its high in mid-January.
In his research note on Tuesday, the Morgan Stanley analyst reiterated his “Overweight” rating on TSLA shares that he’s convinced will claw their way back to the $430 level by the end of this year.
Jonas is bullish on Tesla as he sees it as an “embodied [artificial intelligence] compounder.” His price target on the electric vehicle giant indicates potential upside of a whopping 93% from here.
TSLA’s Bet on Emerging Technologies Could Drive Upside
Adam Jonas acknowledged the recent weakness in Tesla’s deliveries and financials overall, but stuck to his positive view as the company is expected to unveil its first robotaxi in the coming months.
Additionally, he expects TSLA to offer more color on its development of an AI humanoid robot by the end of this year, which could further help the EV stock climb all the way back to its 2025 peak set on Jan. 15.
Others, including famed investor Cathie Wood, continue to see Tesla stock as a top AI play as well.
Should You Buy Tesla Stock in March?
Despite ongoing concerns and a massive decline in the Tesla share price in 2025, Wall Street remains constructive on the EV stock.
The consensus rating on TSLA stock currently sits at “Hold,” but the mean target of about $349 indicates potential upside of more than 50% from current levels.
