Tesla stock is grabbing attention this week as the company gears up for a major event that could reshape its future. The robotaxi reveal on October 10 has investors wondering whether now is the time to buy or sell Tesla (TSLA) shares. With excitement building, let’s break down what’s happening and why this is a big deal.
The Buzz Around Robotaxis
On September 25, Tesla sent out invitations for the big event, with Elon Musk teasing that this moment will be “one for the history books.” The banner reads “We, Robot” and promises a reveal in Los Angeles. Musk has hinted that this robotaxi launch could be Tesla’s biggest announcement since the Model 3 was introduced nearly nine years ago. Bold claims like that have the market buzzing, but there’s still a lot of mystery surrounding the event.
Tesla Stock: A Rollercoaster Ride
Tesla stock has had its ups and downs recently. After a strong run earlier this year, some analysts are cautious. Garrett Nelson from CFRA pointed out that there’s more risk than reward at the moment, especially with the stock’s tendency to dip after major announcements. Tesla shares have been sliding, down 3.6% this week alone, trading just below key moving averages. But even with this, the stock remains close to a significant buy point.
The Competition: Waymo and More
Tesla isn’t the only player in the robotaxi game. Waymo (owned by Google’s parent company, Alphabet) is another big name in autonomous vehicles, which adds pressure on Tesla to deliver something groundbreaking. The stakes are high, and while the excitement is real, some fear the event could disappoint if expectations aren’t met.
Price Cuts and Sales Growth
Despite the stock’s recent performance, Tesla is making moves to boost sales. In the third quarter, global deliveries increased 6%, marking a return to growth. The company has also slashed prices, offering discounts on vehicles like the Model 3 and Cybertruck to ramp up sales. This aggressive pricing strategy shows Tesla’s determination to keep its edge in a competitive market.
The Big Reveal: What Can We Expect?
The robotaxi reveal, taking place at Warner Bros. studio in Los Angeles, will be livestreamed on Tesla’s social media channels, with watch parties across North America. While robotaxis are the main focus, Elon Musk has hinted at other surprises. Could we see an electric plane? Or even an updated Optimus robot? Musk is known for pulling out all the stops during events, so anything is possible.
Analyst Dan Ives expects Tesla to reveal major updates on self-driving technology and AI breakthroughs, which could pave the way for robotaxis to hit the roads in the next year. This “Cybercab” could mark a new era of autonomous transportation, and if the event goes well, it could skyrocket Tesla’s growth.
Cathie Wood’s Bold Prediction
Cathie Wood, known for her bullish stance on Tesla, has set a jaw-dropping price target of $2,600 for Tesla stock by 2029, driven mostly by the potential of the robotaxi business. She believes 90% of Tesla’s value could come from autonomous vehicles within the next five years. Without robotaxis, Wood says Tesla’s stock would only be worth around $350. That’s a big difference and shows just how critical this robotaxi reveal is for the company’s future.
Is Tesla Stock a Buy Now?
With the robotaxi reveal just days away, many investors are asking: is this the time to buy Tesla stock? While some analysts are cautious due to the stock’s recent run, others see this as an opportunity. Tesla’s October lineup is packed, with the robotaxi event on October 10 followed by Q3 earnings on October 23. However, with Wall Street expecting lower earnings this year compared to last, the stock could face challenges.
Tesla has made a strong comeback in 2024, rebounding 90% from its April lows, but with high volatility, investors need to stay sharp. Buying ahead of the robotaxi reveal could be risky, but if Musk delivers on his promises, it might just be worth it.
Stay tuned, because October 10 could be the day that changes Tesla—and the future of transportation—forever.