Tesla Stock Rises Amid Investor Optimism

EV_Dig
10-17

$Tesla Motors(TSLA)$ shares saw a slight uptick on Tuesday, closing up 0.2% at $219.57, despite broader market declines with the $.SPX(.SPX)$ and $.DJI(.DJI)$ both down around 0.8%.

This came as investors continue to react to Tesla’s recent Robotaxi updates, though the stock remains down roughly 8% since Tesla’s “Cybercab” showcase.

Mixed Reactions to Tesla’s Cybercab Event

The event demonstrated Tesla’s prototype Robotaxi, yet many Wall Street analysts felt it lacked the concrete details investors hoped for, especially regarding the rollout timeline for Tesla’s autonomous taxi services.

However, some stakeholders remain optimistic. ARK Invest’s Director of Investment Analysis, Tasha Keeney, was encouraged by CEO Elon Musk's comments on the cost of autonomous taxis, suggesting Tesla could reduce costs to as low as 20 cents per mile—around 60% to 70% lower than traditional car ownership and operation.

Keeney believes Tesla will meet its service timeline, noting that Tesla's access to vast amounts of data from customer vehicles offers a significant edge over competitors like Waymo, which lack the same data scale and manufacturing capabilities.

Sandy Munro, founder of automotive engineering consultancy Munro & Associates, also praised the event in a recent video, highlighting the innovative design of Tesla’s Cybercab, which features no steering wheel or pedals. “It’s like someone is driving you around, except you’re in the front seat, not the back… it’s awesome,” Munro said.

Weighing Diverse Investor Perspectives

Despite some disappointment on Wall Street over the Cybercab event, ARK and Munro’s perspectives underscore the range of views among investors. As Tesla pushes forward with its Robotaxi ambitions, it's clear that enthusiasm remains high in certain quarters.

Yet, the company faces broader challenges. Tesla shares are down approximately 12% year-to-date, partly due to declining EV sales. In the first three quarters of 2024, Tesla delivered nearly 1.3 million electric vehicles, marking a 2% drop year-over-year, which has dampened some investor sentiment.

FSD Support! Will Tesla Restart Uptrend to $400?
Tesla jumps 5% as President-elect Donald Trump's transitionteam plans to make a federal framework forfully self-driving vehicles a priority, benefiting Elon Musk and his bet on self-driving technology. --------------- At what price would you add Tesla? Would Tesla hit $400 this week?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment