German research house DZ Bank lifted its rating on Tesla (NASDAQ:TSLA | TSLA Price Prediction) from Sell to Hold with a $385 price target, a two-notch shift that signals the firm's bearish stance on the EV maker is finally softening.
Tesla delivered a Q1 double-beat, but shares fell as high capex spending and cautious AI scaling tempered optimism. TSLA maintains a "Buy" rating, with growth-adjusted valuation attractive despite technical weakness and increased capex guidance to $25 billion. Key forward drivers include FSD monetization, Robotaxi and Optimus launches, and production of Cybercab, Semi, and Megapack 3 by 2026.
Tesla, Inc. shows early FY 2026 trends mirroring recent previous years, with an expectation of flat-to-weak revenue and a 48% net income reduction. TSLA's operating expenses are set to grow at least 20%, while free cash flow turned positive at $1.44 billion but is stated to be negative for the rest of the year. Major strategic initiatives include humanoid robots, AI compute, chip fabrication, and battery manufacturing, signaling bold but risky bets beyond core automotive.
Tesla, Inc. remains a Buy in my books, but the investment case now hinges on high-risk, high-reward capex in AI, robotics, and energy. TSLA's $25B FY26 capex plan, well above expectations, will drive negative cash flow and compress earnings before potential expansion post-2026. Growth vectors, including Optimus and Robotaxi are future-oriented, with current spending outpacing near-term revenue visibility and timelines subject to delay.
The high-profile trial between Elon Musk and Sam Altman is scheduled to begin on Monday with jury selection. In his $134 billion lawsuit, Musk claimed that OpenAI, Altman and the company's president, Greg Brockman, reneged on a vow they made to keep the AI lab a nonprofit in perpetuity.
Tesla Inc (NASDAQ:TSLA) has begun manufacturing its Cybercab robotaxi, according to CEO Elon Musk, marking a key milestone in the company's effort to expand into autonomous ride-hailing services amid a broader slowdown in electric vehicle demand. Musk said on Friday via the social media platform X that production of the Cybercab is now underway at Tesla, Inc., fulfilling earlier statements that the vehicle would enter manufacturing in 2026.
DZ Bank up graded Tesla stock to Hold from Sell.
California New Car Dealers Association's first-quarter (Q1) report, published on April 22, showed that Tesla (NASDAQ: TSLA) made significant gains in terms of electric vehicle (EV) market share.
Tesla Inc. has started manufacturing its long-awaited Cybercab robotaxi, Chief Executive Officer Elon Musk said in a post on social media platform X. Click Here The announcement marks a key milestone in the company's push into autonomous ride-hailing, even as its global vehicle sales continue to face pressure.
While Tesla's (NASDAQ: TSLA) latest quarterly double beat led to initial investor enthusiasm and some analysts, like Wedbush's Dan Ives, to declare that the firm is ‘morphing into a physical AI stalwart,' while assigning a $600 price target, others had a starkly different reaction.
Tesla TSLA ), the domestic EV market leader, saw its stock dip 3% in Thursday's trading session after reporting favorable Q1 results yesterday evening, but announced that its CapEx will be about $5 billion higher than initially expected this year.
Elon Musk admits owners with outdated self-driving hardware who purchased the option will require a major retrofit effort.