High Target: Cathie Wood’s Ark predicts that Tesla would be valued at $3 trillion by 2025.

Cathie Wood’s Ark Invest Management expects Tesla Inc. stock to hit $3,000 by 2025 and at that price, the company would be worth almost $3 trillion (Predicted based on the number of shares outstanding).

They predict a 50% chance of Tesla achieving full autonomous driving within 5 years, which could allow the company to scale its planned “robotaxi” service earlier than expected.

Ark also added Tesla’s insurance business into consideration. It believes that Tesla’s insurance can be established in more states in the next few years with better-than-average margins — all thanks to the “highly detailed driving data” Tesla collects.

Cathie Wood has been among Tesla’s most ardent supporters, holding large stakes of the company in her flagship fund. When Tesla shares dipped in February, she bought more.

According to Ark’s new prediction, in the best case scenario, Tesla could reach $4,000 per share in 2025, and in the worst case, $1,500. The company forecasts Tesla’s unit sales to be between 5 million and 10 million vehicles in 2025, assuming increased capital efficiency.

Please note that the $3,000 target is far higher than any analyst who analyses the company. The highest predicted so far is $1,200, according to Bloomberg.

Fueled by zealous supporters, Tesla shares rose more than 740% last year, the best performance on the S&P 500. Elon Musk became the richest person in the world in January, before Jeff Bezos reclaimed the title last week as Tesla’s stocks retraced.