Tesla stock could double if it can sell 1 million cars per year in 2020 while having a 13% margin

Stock analyst believe Tesla will have an easier time selling the Model 3, the rumored Model Y and other future products than the Model X.

Tesla could reach an 80% price increase and a stock price of $566 if they can sell 1 million vehicles in 2020, including the Model 3, Model S, Model X and Model Y, at an average selling price of about $52,000.

$566 price also assumes 15 GWh of battery production sold at an average selling price of $500 per kWh and 800 MW of solar modules sold at a gross margin of 20%. All of this amounts to about $62.4 billion in total revenue with an operating margin of about 11%.

It doesn’t revenue from Tesla Semi or ride sharing.

A $707 price target could be achieved with 1 million vehicles per year and an operating margin of about 14%.