Cathie Wood's $3,000 Call on Tesla Isn't as Outlandish as It Might Seem. Here's Why.
Cathie Wood has become something of a rock star with investors. The founder and CEO of ARK Investment Management has developed a reputation for making bold calls on emerging technologies, a strategy that has paid off handsomely for ARK's exchange-traded funds, which thrashed the returns of the overall market last year.
Wood has risen to prominence not only for her stock picking prowess, but also because she isn't afraid to make big, seemingly outlandish calls that have eventually come true. Some investors might place Wood's most recent call in that category.
Over the weekend, ARK Invest released its latest five-year price target on Tesla (NASDAQ: TSLA), which turned heads. Wood expects shares of the electric vehicle (EV) maker to climb more than 350% from Friday's closing price to a massive $3,000 by 2025, pushing the company's market cap to roughly $1.5 trillion. While that might seem heady, it's not as outrageous as it might appear at first blush.
Source Fool.com
