BofA Global Research reinstates coverage with buy rating; price objective $460

BofA Global Research reinstates coverage with buy rating; price objective $460

Bank of America Reinstates Tesla as Buy with $460 Price Target
Bank of America (BofA) Global Research has reinstated Tesla, Inc. (TSLA) as a "Buy" with a price target of $460, signaling renewed confidence in the electric vehicle manufacturer's growth prospects. The move comes amid broader strategic reviews of high-growth equities and reflects BofA's assessment of Tesla's positioning in a competitive market landscape.

The reinstatement follows a period of reduced analyst coverage for Tesla, as BofA's team reassessed the stock's valuation and long-term potential. While the firm did not disclose detailed rationale for the $460 target in publicly available materials, the decision aligns with broader market optimism around Tesla's production scalability, global expansion, and technological leadership in EV innovation. The price target implies approximately 25% upside from Tesla's closing price on March 3, 2026.

BofA's action contrasts with its recent coverage adjustments in other sectors. For example, the firm simultaneously reinstated "Buy" ratings for Walmart and Costco, citing their resilience in a "K-shaped" economy, while taking a more cautious stance on Target. Additionally, BofA extended positive outlooks to financial services firms like Fair Isaac Corporation (FICO) and S&P Global, highlighting growth drivers such as pricing power and digital transformation.

The reinstatement of Tesla as a "Buy" underscores BofA's focus on companies with strong balance sheets and scalable business models amid macroeconomic uncertainties. Investors are advised to monitor upcoming earnings reports and industry trends for further validation of the firm's thesis.