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Price Prediction: Two Magnificent Seven Stocks, Two Bold Price Targets for 2027

By Vandita Jadeja Published Jul 22, 8:30AM EDT

Quick Read

Tesla (TSLA) targets $550 via Robotaxi expansion and 51% FSD subscription growth, while Google (GOOG) chases $500 on 63% Cloud growth and a $460 billion backlog.
Google trades at just 22x forward earnings despite 82% earnings growth, making it the higher-probability path to its price target than Tesla's stretch case.
A potential AI CapEx digestion phase compressing margins sector-wide remains the single biggest threat that could derail both stocks from their 2027 targets.
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Price Prediction: Two Magnificent Seven Stocks, Two Bold Price Targets for 2027 — © jamesteohart

Two Magnificent Seven names are heading into the back half of 2026 on opposite trajectories. Tesla (NASDAQ:TSLA | TSLA Price Prediction) is down 15.74% year to date, weighed down by a delivery slump and a massive AI spending ramp. Google (NASDAQ:GOOG) is up 10.46% YTD and riding a Cloud franchise growing 63% YoY.

My bold 2027 targets: $550 for Tesla and $500 for Google. Here is how each gets there.

An infographic titled 'TSLA & GOOG Stock: The Path to 2027 Targets' on a dark blue background with circuit board patterns. The infographic is divided into two main sections: Tesla (TSLA) and Google (GOOG). The Tesla section shows Current Price: $378.93, BLAST Predicted Price (Base Case): $430.06 with an up arrow, BULL CASE TARGET (2027): $488.12 with an up arrow, Forward EPS: $2.44, Upside to Bull Case: +28.82%, Implied P/E (Base): 209.35, Reddit Sentiment: NEUTRAL with a dash, Bear Case Price: $376.97 with a down arrow, and Bull Case Price: $488.12 with an up arrow. The Google section shows Current Price: $346.19, BLAST Predicted Price (Base Case): $432.41 with an up arrow, BULL CASE TARGET (2027): $449.72 with an up arrow, Forward EPS: $15.47, Upside to Bull Case: +29.91%, Implied P/E (Base): 26.41, Reddit Sentiment: BULLISH with an up arrow, Bear Case Price: $353.49 with an up arrow, and Bull Case Price: $449.72 with an up arrow.

Tesla: Why Shares Are Stuck Right Now

Tesla is caught between a fading auto business and an AI story that has yet to fully monetize. Vehicle deliveries declined 16% YoY in Q4 25, and shares are off 4.35% in the past week and 5.38% in the past month.

With a beta of 1.802, shares move sharply in either direction. Prediction markets currently price just a 16.5% probability of an Optimus release by year-end 2026, so patience on AI product timing is warranted.

The Path to $550

Reaching $550 from today’s $378.93 would require a gain of 45.1%. With forward EPS of $2.44, that implies a forward P/E of 225x, versus our base case’s 209x. So the multiple expansion is modest; the heavy lifting is EPS.

Services revenue growing 42% YoY, 1.28M FSD subscriptions (+51%), and Robotaxi expansion from Austin to Dallas, Houston, and beyond can drive that. Wall Street targets $425.22 with 23 buys against 6 sells. My take: consensus underweights the software optionality. The risk is margin compression if auto pricing weakens further.

Google: Why Shares Are Sliding Despite Blowout Earnings

Google delivered a 94.10% EPS beat in Q1 26, yet shares are down 5.79% over the past month. Why? 2026 CapEx guidance of $175 to $185 billion spooked investors worried about ROI. Free cash flow already fell 46.63% YoY in Q1. Beta sits at 1.247, and shares trade 6% below the 52-week high of $404.23.

The Path to $500

Getting to $500 from $346.19 requires a gain of 44.4%. With forward EPS of $15.47, that implies a forward P/E of 32x, versus the base-case 26x. That is a reasonable rerating for a business where Google Cloud is compounding at 63% YoY with a $460 billion backlog.

Sundar Pichai said it plainly: “2026 is off to a terrific start. Our AI investments and full stack approach are lighting up every part of the business.” 58 buys, 7 holds, zero sells, with 89% bullish sentiment. The risk is CapEx ROI slipping.

Current Valuation in Context

Tesla currently trades at roughly 155x forward earnings, still a nosebleed multiple carried by AI optionality.

Google trades at just 22x forward earnings against 21.8% revenue growth and 82% earnings growth, which looks genuinely cheap for a hyperscaler. TSLA’s 10-year return of 2,457% and GOOG’s 840% show both have delivered before.

The Bottom Line on $550 and $500

Tesla to $550 requires a 45.1% gain and hinges on Robotaxi scale plus FSD monetization. Google to $500 needs a 44.4% gain and a modest multiple rerating on Cloud momentum.

I view Google as the higher-probability path and Tesla as the stretch.

What derails both: an AI CapEx digestion phase that compresses margins across the group. Returns at this level shouldn’t be expected every year, but we’ve outlined the blueprint for how Tesla and Google could reach $550 and $500 in 2027.

Contact [email protected] for any questions or corrections.

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About the Author Vandita Jadeja →

Vandita Jadeja is a financial copywriter who loves to read and write about stocks. She believes in buying and holding for long term gains. Her knowledge of words and numbers helps her write clear stock analysis. She has contributed to several publications, including the Joy Wallet, Benzinga, The Motley Fool and InvestorPlace.