Tesla's target share price has been raised from $650 to $1200 by Morgan Stanley analyst Adam Jonas, who was previously bearish on Tesla.

But with its potential to become a major battery supplier for electric vehicles, Jonas today nearly doubled Tesla's target share price to $1,200.

By comparison, Tesla closed at $800.03 on Friday. The $1200 share price given by Jonas means that Tesla's market value will reach $220 billion. Nevertheless, Jonas continued to maintain Tesla stock "underweight" rating.

Jonas said in the report that this "radical assumption" is mainly based on: Tesla may win 30% of the global electric vehicle market, including 4 million cars delivered by 2030, plus Tesla to other the potential for automakers to supply powertrains, including batteries and electric motors.

For reference, Tesla delivered 367,500 electric vehicles to customers in 2019, an increase of 50% over 2018.

This year, Tesla's stock price has experienced a crazy rise. So far, the stock has risen 91%, mainly due to good performance, short squeeze, and the commissioning of Chinese factories. Last week, Tesla also announced that it would issue common stock at a price of $767 per share to raise $2 billion.

The data shows that the average target price currently given to Tesla by Wall Street analysts is $489.47, which is much lower than the current actual stock price of about $800. It should be pointed out that the target stock price of $1200 is the most optimistic expectation given by Morgan Stanley. Its basic expectation is $500, while the most pessimistic expectation is $220.

Tesla shares went up by about 1 percent in pre-market trading.