Close
Tesla's recent earnings report revealed a troubling trend, with shares dropping over 10% following the announcement. The automotive segment saw only a 2% year-over-year revenue increase, while gross margins hit a seven-year low. To distract from these issues, CEO Elon Musk is emphasizing the potential of Tesla's AI and autonomous driving initiatives, despite their speculative nature.
The outlook for Tesla's automotive business remains bleak, with challenges stemming from an aging product lineup and increased competition. Investors are increasingly tying Tesla's value to its AI prospects, which may not yield significant returns until the mid-2030s. Given these factors, a significant re-rating of Tesla's stock could occur, potentially lowering the share price to around $90.
• Tesla's AI ventures are highly speculative and uncertain.
• Elon Musk emphasizes autonomy as Tesla's primary value driver.
This term is central to Tesla's future growth narrative, as the company aims to leverage AI for self-driving technology.
Tesla's potential Robotaxi service is highlighted as a speculative venture that could reshape its business model.
Tesla's investment in AI hardware is crucial for developing its autonomous driving capabilities.
Tesla's current equity story is heavily influenced by its AI ambitions and the performance of its automotive business.
Seeking Alpha 14month
Insider Monkey on MSN.com 9month
Isomorphic Labs, the AI drug discovery platform that was spun out of Google's DeepMind in 2021, has raised external capital for the first time. The $600
How to level up your teaching with AI. Discover how to use clones and GPTs in your classroom—personalized AI teaching is the future.
Trump's Third Term? AI already knows how this can be done. A study shows how OpenAI, Grok, DeepSeek & Google outline ways to dismantle U.S. democracy.
Sam Altman today revealed that OpenAI will release an open weight artificial intelligence model in the coming months. "We are excited to release a powerful new open-weight language model with reasoning in the coming months," Altman wrote on X.
Log in
Sign Up
AI Tools - Popular
AI Tools - Categories
GPTs - Categories
AI for Jobs
Key AI Highlights in this Article
Key AI Terms Mentioned in this Article
Companies Mentioned in this Article
