Tesla shares rose about 3% on Tuesday and closed near $490, setting a new all-time high and marking the first record in a year. The stock had struggled to break above last year’s reference level near $479.86, but the market is now pricing in renewed growth momentum.

The rally has been fueled by investor interest in autonomous driving, robotaxis, robotics, and AI, which have once again become central to Tesla’s growth story. Shares have recovered strongly in recent months, more than doubling from their March lows amid expectations of a stronger focus from Elon Musk on the company.

Additional support came from reports of testing fully autonomous robotaxis, raising expectations that Tesla could gradually remove safety drivers from rides. Earlier this year, the company launched a robotaxi pilot in Austin, where Tesla employees initially remained in the vehicle as observers, but the market sees signs of potential expansion.

Analysts also added to the optimism: Mizuho raised its price target to $530 from $475, citing progress in self-driving software and scaling potential. Still, Wall Street views remain mixed, with some analysts cautious and an average target near $400 implying a possible pullback from current levels.