Tesla”s stock experienced a notable increase, trading at approximately $426.60 as of November 27. This surge comes on the heels of a bullish report from Melius Research, which named Tesla a “must-own” stock as the company prepares for 2026. The report highlights Tesla”s advancements in artificial intelligence and its Full Self-Driving technology, which are critical components of its competitive edge in the electric vehicle (EV) market.
Since April 2025, Tesla”s stock has doubled, maintaining a technical uptrend despite fluctuations. Melius Research”s analyst, Rob Wertheimer, pointed out that Tesla”s long-term strategic decisions are paying off, especially as competitors struggle to keep pace with the company”s technological innovations. This optimistic outlook arrives at a crucial time, as Tesla”s stock had tested lower support levels prior to the report”s release.
In a somewhat disappointing update regarding Tesla”s robotaxi fleet, Elon Musk announced that the Austin fleet would expand to only 60 vehicles by December, a significant reduction from earlier projections of 500 by year-end. This adjustment raises concerns about the company”s ability to meet its ambitious scaling goals, especially as the overall rollout of autonomous vehicle services remains a topic of scrutiny among investors.
The technical analysis of Tesla”s stock indicates strong support around the $390 to $410 range, a zone that has attracted buyers multiple times this month. Meanwhile, resistance levels are situated between $460 and $470, coinciding with key moving averages. Analysts have noted that a sustained break above the $470 mark could indicate renewed bullish momentum, while falling below $400 might lead to further declines.
Despite the mixed signals surrounding its robotaxi ambitions, Tesla”s stock rose by 1.7% in response to Melius”s positive commentary. The broader market context has also been favorable, with the S&P 500 gaining nearly 4% in recent sessions, which has helped stabilize Tesla”s shares.
Market analysts remain divided on Tesla”s valuation. While Stifel Nicolaus recently raised its price target for Tesla to $508, Mizuho Securities lowered its target to $475, citing concerns over waning EV subsidies in both the U.S. and China. These dynamics could challenge Tesla”s cost advantages and impact its delivery growth moving forward.
As the year ends, the $390 to $410 range will be critical for Tesla”s bulls. A push toward $460 could set the stage for testing last year”s highs near $490. Investors will be closely monitoring updates on regulatory approvals for Full Self-Driving technology and the progress of Tesla”s Cybercab initiative.
