Tesla Inc., the electric vehicle manufacturer, is poised for significant developments regarding its product lineup, according to insights from industry analysts. Gary Black, managing partner of The Future Fund, shared expectations surrounding the rollout of the Cybercab, asserting that it is unlikely to be introduced before 2026. Speaking on the platform X, Black expressed skepticism towards those who believe a more affordable model, priced between $25,000 and $30,000, will emerge before this date. He highlighted that this forthcoming compact model will feature four seats along with traditional driving controls, such as a steering wheel and pedals.
In his commentary, Black referenced Tesla's third-quarter earnings call, during which CEO Elon Musk linked discussions about a cheaper electric vehicle to projections of 20-30% year-on-year volume growth anticipated for 2025. Black emphasised that important details about this more affordable compact model would not be disclosed until just before its launch, a strategy intended to prevent any adverse effects on sales of the existing models, specifically the Model 3 and Model Y, in the final quarter of the year.
Further enhancing the dialogue, Dan Ives, an analyst at Wedbush, noted in a separate tweet that investors are eagerly awaiting a formal federal guideline for Tesla's Full Self-Driving (FSD) capabilities. Ives identifies this regulatory framework as a crucial milestone that could significantly advance Tesla's aims in autonomous technology, particularly in the years 2025 and 2026.
The Cybercab has already been observed undergoing testing at Tesla's Giga Texas facility. This vehicle is envisioned as a key component of Tesla's strategy to revolutionise urban transportation through self-driving technology. Despite the ambitious plans, challenges remain in the autonomous vehicle sector, with Lucid Group Inc. CEO Peter Rawlinson previously suggesting that full self-driving capabilities may not materialise until the 2030s.
In Tesla's latest financial report for the third quarter, the company achieved revenues of $25.18 billion, which represents an 8% increase from the previous year. However, this figure fell short of analysts' expectations, which had projected revenues of $25.37 billion.
On the stock market, Tesla's shares closed at $345.16, reflecting a rise of 3.69% for the day, and continued to experience slight gains in after-hours trading. Year-to-date, the stock's value has increased by 38.94%. Currently, the consensus rating for Tesla’s stock stands at "Neutral," with the highest price target set at $400, while the overall consensus target anticipates a decline to $232.20, implying a potential downside of approximately 33% from its current trading price.
As the automotive sector evolves with advancements in artificial intelligence and automation, Tesla remains at the forefront, closely watched by both investors and industry experts.
Source: Noah Wire Services