Tesla will release its fourth-quarter earnings after the closing bell on Wednesday.
Shares in the electric-vehicle maker were down 1.4% year-to-date through Tuesday.
Investors are on high alert for key details on self-driving initiatives and robotaxis.
Tesla will report fourth-quarter earnings on Wednesday after the closing bell.
Wall Street is bullish headed into the results, with excitement growing for the EV maker’s AI inroads. Investors will be listening for updates on self-driving initiatives, robotaxis, and cheaper vehicle models.
Tesla’s earnings-release time is roughly 4:30 p.m. ET, and its conference call with analysts will start around 5:30 p.m.
Tesla’s stock was down 1.4% year-to-date through Tuesday’s close, lagging the the S&P 500’s 3% gain.
Morningstar: Robotaxi rollout will take longer, stock is overvalued
Although Tesla sold off this week on the supposed threat of AI competition from DeepSeek, Morningstar doesn’t consider the upstart AI tool a significant risk: Tesla’s software advantage comes from billions of miles worth of FSD testing, it said.
However, Tesla stock is still considerably overvalued, Morningstar said. Investors may need to brace for deliveries to disappoint, as the production of new, low-cost car models will take longer than projected.
Similarly, the Robotaxi launch will be delayed beyond the firm’s 2026 timeline, given that the needed software will require improvements.
Morningstar maintains a “narrow moat” rating for Tesla, and holds a fair value estimate of $210 per share.
Wedbush Securities: White House policy will clear the way for a golden age.
Tesla is bound for a golden era of growth as friendly White House policies will fast-track the firm’s autonomous driving and AI initiatives, says Wedbush Securities analyst Dan Ives.
The company’s tech efforts will start to show in its valuation over the next 12-18 months, helped by FSD and the Tesla Cybercab. “We believe Tesla remains the most undervalued AI play in the market today.”
According to Ives, investors can expect solid delivery demand this year driven by China. Together with the firm’s autonomous vision, Tesla could reach a $2 trillion market cap by the end of 2025.
Wedbush Securities maintained an “outperform” rating on Tesla. It raised the price target to $550, over 41% higher than the stock’s current level.
Morgan Stanley: Tesla is an “embodied AI ETF.”
Tesla is set for a strong fourth-quarter report, underscored by inventory-supported free cash flows and the potential for deferred revenue tied to full self-driving.
