Tesla Jumps 4.55 Percent as Nikkei and Kospi Rally on AI Optimism

Tesla shares rose 4.55 percent to $391.62, up from $374.58, on Monday, October 26. In Asia early on Tuesday, October 27, Japan's Nikkei 225 rose 2.35 percent to 63,654.10, up from 62,189.65, and South Korea's Kospi rose 2.48 percent to 5,687.77, up from 5,550.30. Two stories drove the moves. A bank upgrade lifted Tesla in New York, and a filing by the AI company Anthropic lifted chip shares on Wall Street and then in Tokyo and Seoul.

Tesla gets an upgrade

Barclays raised Tesla to Overweight from Equal Weight and lifted its price target to $450 from $370. Analyst Dan Levy pointed to a core auto business set to return to growth this year after two years of declines, progress in robotaxi services, and an energy storage business that the bank said is nearly sold out for 2027 on data center demand, with shipments that could grow by more than 50 percent. Barclays also said a possible combination with SpaceX could bring a premium for Tesla shareholders. Both companies have formed independent committees to look at a combination, and no deal has been announced. Mizuho also raised its Tesla target, to $460, while keeping an Outperform rating. The Motley Fool put Tesla up 5.21 percent in its Monday market report and linked the gain to the Barclays call, the robotaxi business, and the recovery in the core auto business.

Chip shares lead in Tokyo and Seoul

Asian trade followed a strong night for US chip stocks. The Nasdaq Composite rose 0.82 percent on Monday and the Philadelphia Semiconductor Index rose 2.82 percent, after Anthropic publicly filed to list on Nasdaq under the ticker ANT and reported first half revenue of about $16.29 billion. Korea JoongAng Daily, reporting Yonhap, said stocks in Seoul opened higher as Wall Street gains, renewed AI optimism, and lower oil prices lifted sentiment. Aju Press said Samsung Electronics rose 4.23 percent and SK Hynix rose 5.88 percent in early trade, with foreign investors as net buyers. In Tokyo, chip and AI names led, with Kioxia and SoftBank Group among the big gainers. Oil eased on hopes of lower tension in the Middle East, which also helped sentiment in Seoul, Yonhap reported.

What happens next

The next tests come fast. SK Hynix reports third quarter results on Wednesday, October 28, and Samsung Electronics reports on Thursday, October 29. In the United States, Alphabet and Microsoft report earnings on Wednesday, Amazon reports on Thursday, and the Federal Reserve announces its rate decision on Wednesday. For Tesla, investors will watch for any statement from the Tesla and SpaceX committees. A deal is not certain, and the stock now carries both an upgraded business case and a deal premium that could fade if the talks stall.