Tesla stock climbs to $344 amid robotaxi hype and supply chain optimism
Elon Musk’s strategy to pivot Tesla into an AI-first automotive company is resonating with the market
As of June 4, Tesla stock is trading at $344.27, up 0.5% in the past 24 hours.
Tesla Inc. (NASDAQ: TSLA) continues to show strong bullish momentum, gaining traction among both retail and institutional investors.
Highlights
- Tesla stock has rebounded over 50% from April lows, supported by strong technical indicators and rising investor confidence.
- The upcoming robotaxi launch and supply chain independence are key catalysts driving bullish sentiment.
- Analysts project short-term gains toward the $370–$380 range, with a potential breakout if momentum continues.
The stock has surged nearly 58% from its April low of $221.86, a sharp rebound driven by renewed confidence in the company’s innovation pipeline and strategic direction. Technically, the price is well supported by key moving averages, with the 50-day moving average currently at $288.54 and the 200-day moving average at $302.39. Both figures lie below the present trading level, signaling that the uptrend remains intact.
Momentum indicators support this bullish outlook. The Relative Strength Index (RSI) stands at 60.85, nearing overbought territory but still suggesting room for additional gains. The MACD also reflects strong bullish crossover activity. From a price action perspective, Tesla faces immediate resistance at $367.91 (R1) and stronger resistance around $376.72 (R2).
TSLA stock price dynamics (April 2025 - June 2025). Source: TradingView
On the downside, support can be found at $339.94 (S1) and $333.42 (S2). If the price breaks above the $380 level with volume confirmation, it could initiate the next leg higher toward the $400 zone. Conversely, a decline below $333 would introduce downside risk and could prompt profit-taking.
Robotaxi launch and supply chain strategy underpin market sentiment
Much of Tesla’s recent bullish sentiment is tied to anticipation around its upcoming robotaxi event, scheduled for June 12 in Austin, Texas. The company is expected to unveil a fully autonomous vehicle designed for ride-hailing, a move that could mark a major step forward in autonomous mobility and artificial intelligence deployment in transportation. Elon Musk’s strategy to pivot Tesla into an AI-first automotive company is resonating with the market, particularly as investors look for the next big growth narrative beyond electric vehicles.
Analyst sentiment has turned increasingly positive. Piper Sandler reiterated a price target of $400, while Morgan Stanley maintains a bullish target of $410. Their outlook is based on Tesla’s unmatched vertical integration, robust software development in full self-driving (FSD), and potential new revenue streams from mobility services. The robotaxi development could significantly expand Tesla’s addressable market, creating an asset-light, recurring revenue model akin to SaaS businesses but applied to transport infrastructure.
Equally important is Tesla’s strategic push toward supply chain autonomy. The company is ramping up production of its proprietary 4680 battery cells and building its own lithium refining facilities. These moves are intended to insulate Tesla from global commodity market disruptions and reduce dependence on Chinese suppliers, a concern that has weighed on other EV players. This vertical integration not only enhances control over cost and quality but also positions Tesla to meet scaling targets for the Cybertruck and other upcoming models more efficiently.
Potential breakout toward $370–$380
Looking ahead, the technical setup and market catalysts point to a likely short-term move toward the $370 to $380 range. This aligns with key resistance zones and the consensus around strong momentum ahead of the robotaxi reveal. With bullish sentiment anchored by both technical structure and fundamental news, investors may continue bidding the stock higher as the event date nears.
That said, risks remain. Tesla’s valuation remains elevated, trading at roughly 180 times estimated 2025 earnings, which leaves the stock vulnerable to negative surprises or execution delays. Any setbacks during the robotaxi rollout—such as regulatory pushback or technological shortcomings—could trigger swift downside moves.
Tesla is facing mounting pressure in Europe, with May sales plummeting by over 50% in key markets like France, Portugal, Sweden, and Denmark. The company’s regional market share has nearly halved year-over-year, dropping to 0.7% in April 2025.
