Updated Jul 8, 2026
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Tesla Could Rally 20% on SpaceX Merger Prospects, Analyst Says

NEW YORK, July 8 - A Wall Street analyst is calling for a 20% rise in Tesla shares, with the upside tied to the prospect of a merger between Tesla and SpaceX, both controlled by Elon Musk. Some on Wall Street now see a growing probability that Musk's two biggest companies will combine, the report says.

By Lena Park2 min read
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NEW YORK, July 8 - A Wall Street analyst is calling for a 20% rise in Tesla shares, with the upside tied to the prospect of a merger between Tesla and SpaceX, both controlled by Elon Musk. Some on Wall Street now see a growing probability that Musk's two biggest companies will combine, the report says.

The 20% upside call

The headline figure is a 20% potential gain for Tesla stock. The analyst, whose name does not appear in available reporting, ties the move to a merger scenario, meaning the call is contingent rather than unconditional. No deal structure, price, or timeline is disclosed.

The precision of the figure is worth noting. A 20% upside estimate attached to an unannounced event is a probability-weighted view. The analyst is not predicting the merger will happen. The point is that if it does, Tesla shares would benefit by that magnitude.

Sentiment shifting on the Street

The view is not isolated. The source describes "some on Wall Street" as seeing an increasing likelihood of a Tesla-SpaceX combination, a phrasing that suggests the idea has moved from fringe speculation to a recognizable institutional thesis.

What is driving that shift in probability assessments is not specified. No deal catalyst, regulatory milestone, or Musk statement is cited as the proximate cause.

The 20% figure stands as the actionable takeaway. Context for how analysts arrived at that number is not yet reported.

Key takeaways

Frequently asked

How much could Tesla stock rise according to the analyst?

The analyst calls for a potential 20% gain in Tesla shares, tied to the prospect of a Tesla-SpaceX merger.

Is the analyst predicting the merger will happen?

No; the analyst is not predicting the merger will occur, but says that if it does, Tesla shares would benefit by about 20%.

What is driving the increased probability of a merger?

The article does not specify; no deal catalyst, regulatory milestone, or Musk statement is cited as the cause.

Who is the analyst making this call?

The analyst's name does not appear in available reporting.

Are details of the potential deal known?

No deal structure, price, or timeline has been disclosed.