Cathie Wood predicts Tesla could reach $2,600

Cathie Wood, the CEO of Ark Investment Management, predicts that Tesla's stock price could soar to $2,600 in the next five years. This would be nearly ten times higher than its current value. Wood shared her optimistic forecast during an interview with Bloomberg TV. She believes Tesla’s future robo taxis will contribute significantly to this value, making up 90% of it. She also mentioned Tesla’s work on humanoid robots, which she thinks could further boost the company's stock. Despite facing stiff competition from BYD, a Chinese carmaker that has surpassed Tesla in sales, Wood argues that Tesla still holds its ground in terms of performance and range. Tesla is the largest investment in her ARK Innovation ETF, representing 10% of its $5.8 billion assets. Last year, Ark estimated that Tesla stock could reach $2,000 by 2027. Wood suggested that launching an autonomous taxi service could be a major driver of future growth. However, Tesla's shares have struggled recently, currently priced around $278, following declining sales in key markets like Europe and China. Wood gained recognition during the pandemic for her strong predictions on stocks like Tesla. Her views attracted many retail investors, helping her funds grow to over $60 billion at their peak in early 2021.