What happened Shares of electric vehicle (EV) start-up Fisker (NYSE: FSR) got a boost today after an analyst initiated coverage with a buy rating, adding several bullish comments on the company and the stock. After popping 18% early on Tuesday, shares remained up about 9% as of 10:45 a.m. EDT. So what Analysts at Bank of America (NYSE: BAC) said investors should buy Fisker, predicting shares could jump 150% from Monday's closing price to $31 per share. The analysts based that price target on 2025 sales and EBITDA estimates, comparing the valuation to that of Tesla's (NASDAQ: TSLA) early trading multiples. Image source: Fisker. Now what Fisker has contracted with automotive supplier Magna (NYSE: MGA) and technology company Foxconn to manufacture its EVs. The Bank of America analysts believe that business model has competitive advantages, but they warned that there are other risks. In the report, they stated, "We remain a bit cautious on [Fisker's] go-to-market strategy, namely its flexible leasing program, which we believe may overcomplicate the business mode." However, they qualified that risk as possibly being mitigated by a potentially limited scope of the leasing program. The analysts suggest keeping an eye on reservation trends for the Ocean SUV, which is set to begin production in late 2022. The latest data from Fisker in early March said it had 14,000 reservations for the Ocean. That marked an increase of more than 450% since mid-October 2020. Investors will need to follow these numbers, as well as the start of actual production, to see if the story plays out as these analysts believe it will. 10 stocks we like better than Fisker, Inc.When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Fisker, Inc. wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of February 24, 2021 Bank of America is an advertising partner of The Ascent, a Motley Fool company. Howard Smith has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Tesla. The Motley Fool recommends Magna Int'l. The Motley Fool has a disclosure policy.Source