Anindita Chatterjee
Updated on: October 17, 2024 9:20 am GMT
Tesla is again making headlines as investors and enthusiasts eagerly await its much-anticipated robotaxi event, “We, Robot.” This event, taking place on Thursday night, aims to unveil Tesla’s plans for its autonomous taxi service, potentially setting a new direction for the electric vehicle giant.
With Tesla’s stock closing lower on Wednesday, anticipation surrounding this event grows. Investors are looking for key developments that could signal the next phase of growth for the company.
Strong Vehicle Deliveries in China
Amid discussions of the robotaxi, Tesla has achieved significant success in China, a crucial market for the company. In September, it shipped approximately 88,321 Model 3 and Model Y vehicles from its Shanghai factory, marking a 19% year-over-year increase. This achievement secures three consecutive months of increasing vehicle deliveries in China.
- Total shipments from China for the third quarter reached 249,135 vehicles, surpassing the previous peak of 248,686 vehicles in the fourth quarter of 2023.
- Tesla benefited from a government subsidy of 20,000 yuan ($2,830), which encouraged consumers to trade in older vehicles for new electric ones. This subsidy is expected to remain available into October.
In addition to these promising numbers, Tesla’s anticipated robotaxi service could capture even more attention in the global market.
The Upcoming Robotaxi Event
Investors and analysts are eagerly focused on Tesla’s robotaxi event, which has been described as “seminal” and “historical” by Wedbush analyst Dan Ives. He believes this event will set the stage for crucial updates regarding Tesla’s future in autonomous driving.
Tasha Keeney from Ark Invest expressed her belief that Tesla’s autonomous platform could represent 90% of the company’s valuation in just five years. Unlike competitors such as Waymo, Keeney suggests that Tesla has the potential to launch its robotaxi service city by city at a much faster pace.
Exciting Expectations
The buzz surrounding the robotaxi event includes expectations for:
- Details about a platform rumored to be named the “Cybercab.”
- Insights into Tesla’s Full Self-Driving (FSD) technology.
- Announcements expected to highlight Tesla’s advancements in artificial intelligence.
Analysts believe that the timing of this event, coupled with Tesla’s upcoming third-quarter earnings report, will create a significant moment for the company. Those earnings are due to be announced after market closures on October 23, with estimates predicting earnings of 57 cents per share and revenue of $25.238 billion.
Market Reactions and Stock Insights
As anticipation builds for the robotaxi event, Tesla’s stock saw a slight decrease of 0.42%, bringing it to $243.48 just before the event. Despite this drop, investor focus remains sharp as many seek to understand the broader implications of the robotaxi service on Tesla’s future.
- Tesla is facing increased competition within the autonomous vehicle space, especially from companies like Baidu, which are also contemplating global robotaxi expansions.
- The outcome of Tesla’s newfound direction in autonomous transportation could greatly influence the company’s stock performance in the coming months.
What Lies Ahead
While the robotaxi event may bring significant news, stakeholders should be mindful of the third-quarter earnings report that follows. With challenges posed by strong competition and fluctuating market conditions, how Tesla approaches new technologies and strategies will be crucial.
Investors are encouraged to pay close attention to the event details, as they may provide insights into Tesla’s direction and future profitability.
Tesla is about to do something big with its robotaxi program. This launch could change how we think about self-driving cars and how they fit into our daily lives. As the event gets closer, everyone is excited to see what Tesla will share. It might just change the way we get around!
