Tesla has risen for the sixth consecutive trading day, reaching a historic high during intraday trading

According to Zhitong Finance APP, on Wednesday, Tesla (TSLA.US) stock price reached an all-time intraday high, marking the sixth consecutive trading day of gains, as investors anticipate a new closing record.

Tesla's stock price peaked at $424.88 during Wednesday's trading, surpassing the previous intraday high of $414.5 set on November 4, 2021. According to Dow Jones market data, Tesla's previous closing record was $409.97, also set on November 4, 2021.

Part of the market's rise was driven by inflation data for November that met economists' expectations. The data showed a year-on-year price increase of 2.7%, which may allow the Federal Reserve to maintain its interest rate cut path unchanged next week.

As of Wednesday, Tesla's stock price has risen about 67% this year, and approximately 65% since the election on November 5, nearing historical highs.

Market expectations that Tesla CEO Elon Musk's relationship with elected President Donald Trump will bring benefits to the company have driven the stock price up. The continued rise in stock price has also prompted analysts to raise their target prices, creating a "virtuous cycle."

This cycle was evident again on Wednesday. Goldman Sachs analyst Mark Delaney raised Tesla's target price from $250 to $345, although he lowered the company's earnings expectations due to a slowdown in electric vehicle growth. However, he noted that investors are more focused on Tesla's artificial intelligence (AI) opportunities. Tesla is using AI technology to train cars for autonomous driving and plans to launch its autonomous taxi service by the end of 2025.

Delaney has a "hold" rating on Tesla, with a target price below the current stock price. In fact, Tesla's stock price has far exceeded the average target price of analysts. According to FactSet data, the average target price among analysts is $271, while Tesla's current stock price is more than 50% above this target.

Although exceeding the target price may raise concerns, it is not uncommon for Tesla. Over the past five years, Tesla's stock price has been above the average target price of analysts for half of that time, while during the same period, Apple's stock price has only been above its target price about 15% of the time.

The divergence between analysts and investors has historically been more pronounced, especially in 2020. That year, Tesla's stock price soared over 740%, and Wall Street failed to keep up with this growth rate in a timely manner. Currently, only one large U.S. brokerage, Stifel Nicolaus, has analyst Stephen Gengaro giving a target price above $400 (at $411) and rating Tesla as "buy."

If Tesla's stock price continues to rise, more analysts may raise their target prices above $400. The strong performance of Tesla's stock reflects market confidence in its future, particularly in the fields of autonomous driving and AI technology. As market enthusiasm continues to grow, whether Tesla can maintain this growth trend will become a focal point of attention in the coming period