Robotaxi Mania: The Countdown to Tesla’s Next Breakout Moment

Let the TSLA Hype Begin!

Get ready for a fresh wave of Tesla (TSLA) chatter (and stock movements) in the coming weeks as hype builds ahead of the company’s planned Robotaxi event on October 10, 2024.

Already, TSLA is bucking the “September Slump” that’s taken down many stock market winners. The stock was one of our biggest movers to the upside last week, rallying 7% through close Thursday on a slew of positive news.

To catch you up:

Tesla is reportedly planning a six-seat Model Y, with Chinese production expected in 2025.
The company also plans to launch its full self-driving product in Europe and China early next year if it can secure regulatory approvals.

TSLA released more positive news from China this week, showing its EV sales grew 37% from July.

And momentum is building on the consumer front, too, with Tesla’s Cybertruck still generating tons of online chatter. (Shaq just had his second one delivered.)

NBA legend Shaquille O'Neal adds a second Cybertruck to his car collection.

🔥🔥🔥

The Cybertruck featured a widebody kit on 26-inch rims.

Shaq says he purchased a second Cybertruck because he didn't want to ship out his first one from Atlanta.

"I'm missing my Cybertruck but… pic.twitter.com/B2sUwA7TM4
— Collin Rugg (@CollinRugg) September 7, 2024

That’s not all we’re looking forward to… take a look.

Long-Term: TSLA Is Set to Be a Major Robotics Winner

More and more investors are talking about Tesla not as a car company, but as a robotics leader… including our Derby City Daily readers:

“Tesla has changed the auto industry. He also changed the solar industry, the Power industry and the Robotics industry. He has introduced AI in all of these.” – Calvin

“I see Tesla as a major disrupter for sure. AI, information, robotics, auto company.” – Anthony  

“Tesla is grounds for thinkers and doers. There will be more inventions in the future coming out of Elon Musk’s Co.” – Abe  

“I think Tesla will be a very successful mega company in the future.” – Dan

We couldn’t agree more.

We see TSLA as a major robotics winner driven not just by its Robotaxi, but also its Optimus humanoid robot, which is generating high levels of scale and efficiency for Tesla’s own production.

At nearly three times less than an hourly worker at $40 an hour, Optimus provides considerable cost savings over human labor. Wide-scale deployment of this technology could significantly boost Tesla’s efficiency and margin performance, a weak spot for investors lately.

The opportunity here cannot be understated. With costs decreasing and capabilities improving, the humanoid robot market could reach $38 billion by 2035, with significant growth expected by 2027:

Near-Term: TSLA’s Robotaxi Event Could Be a Major Positive Catalyst

Tesla’s eagerly awaited Robotaxi event is quickly approaching. If you remember, this “reveal” was initially planned for August but was pushed to October. Analysts downgraded TSLA stock on the delay, citing “narrative risk” at the time.

Now, we’re just one month out – the event is set for October 10 – and even analysts are bullish, with some expecting surprises during the event aside from a demo of the so-called “Cybercab.”

Robotaxis will allow the company to fulfill its vision of making car ownership a revenue generation vehicle for owners. You can easily envision the potential partnerships with companies like Uber Technologies (UBER), which is already offering its drivers incentives to purchase Tesla’s EVs. (Up to $2,000 toward Tesla’s Model 3 and Model Y sedans.)

Tesla leads other major self-driving players like Waymo (GOOGL) tremendously when it comes to practice, generating 66x more driving data with its 6 million vehicles on the road.

By leveraging vast driving datasets for its artificial intelligence (AI) systems, Tesla has positioned itself as a data-rich leader in the robotaxi market… a market ARK Invest estimates will reach $28 trillion in enterprise value by the decade’s end.

How Does Tesla Demand Look Right Now?

So, as you can see, the long-term – and near-term – opportunities look increasingly promising for Tesla. But what about the here and now? That’s where LikeFolio data comes in.

Our x-ray view into company-level website visits shows some tempering in traffic across the board for automakers. TSLA, Toyota Motor Corp. (TM), and Ford Motor Co. (F) are all logging year-over-year decreases in traffic:

But most important, the chart above shows Tesla is the unequivocal consumer attention leader versus other auto manufacturers.

We couldn’t even put other names like Rivian (RIVN) and General Motors (GM) on the chart because volume was too low.

It’s been a rollercoaster for Tesla in 2024, to be sure. Last quarter’s earnings failed to impress, sending shares lower. Automotive revenue fell 7% year over year. But perspective is everything.

Notice how revenue from energy generation and storage is becoming a larger piece of Tesla’s pie:

Tesla’s energy products, which include its Powerwall and solar panels, tap into the increasing demand for renewable energy – and its advancements in solar energy and battery storage solutions are expected to grow.

The Bottom Line

At this point, TSLA seems to be more of a binary bet on the successful transition to robotics over simple carmaker. We will take that bet.

The question is… Will you?

Need I remind you that Elon Musk only thinks big – and that kind of vision comes with a hefty payoff. Just look at the kind of wealth TSLA has delivered over time, surging an astonishing 1,200% over the last five years.

Heck, I remember when most people were still mailing checks in the ‘90s. Elon Musk’s idea of making payments over the internet seemed unimaginable. Now, PayPal (PYPL) is the norm.

So, yes, to some, humanoid robots might sound like some far-off science fiction dream. But we know better. Musk is making them a reality with Optimus. And the forward-thinking Tesla investors will again be the ones rewarded in the long run.

That’s why it’s critically important that you pay attention to his next great invention: an AI device that could very well be the most powerful technology ever created.

Like Musk has done time and again, this “strange” new idea is set to shock the world – and this time, you don’t want to be a nonbeliever.

Click here to learn all the details.

Until next time,