Legendary Investor Ron Baron Remains Uber-Bullish On Tesla

Billionaire investor and Tesla Inc TSLA shareholder Ron Baron explained Tuesday morning why he remains bullish on the company even though the stock has already gained nearly 70 percent in 2017 alone.

Baron was a guest on CNBC's "Squawk Box" and proudly stated that his firm Baron Capital Group has made a profit of $20 billion since 1992, of which $11 billion came from just 15 different stocks.

Baron is confident his long-term strategy that has generated billions of dollars in profit will play out again with his stake in Tesla, which he acquired at an average cost of $208 to $210 per share. In fact, he expects his stake in Tesla over 15 years to return 20 or even 30 times his investment. This implies a long-term outlook of Tesla's stock trading above $4,000 per share even on the low end of his outlook.

Among some of the reasons why Baron is uber-bullish on Tesla is the sheer number of orders the company has received for its new Model 3 sedan. Specifically, after delivering more than 75,000 cars last year, the company now has 378,000 orders and is on track to sell one million cars by 2020.

Baron went on to blast Wall Street's bearish analysts for failing to visit first hand Tesla's facilities and speaking with senior management to fully understand the big picture.

"There is no research," he exclaimed. "The research people on Wall Street are salesmen, not analysts. They regurgitate 'well this is what the company earned.'"

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