Key Points
- Tesla’s stock has reached its highest price of the year. The rally was sparked by news that Tesla is now testing Robotaxis without a human safety driver.
- This is a major step toward Tesla’s long-term goal of launching an autonomous ride-hailing fleet.
- Analysts believe the AI and self-driving part of Tesla’s business could be worth over $1 trillion.
- The progress is seen as a sign that the company is moving forward with its ambitious AI and robotics plans.
Tesla’s stock is surging to its highest level of the year, driven by a breakthrough in its self-driving ambitions. Investors are celebrating after CEO Elon Musk confirmed that the company has begun testing its Robotaxis without a human safety driver.
The news sent Tesla shares up 4% on Monday and another 3% on Tuesday, pushing the stock to prices not seen since last December. The rally is a clear sign that investors are once again excited about Tesla’s transformation from just a car company into a full-fledged AI and robotics powerhouse.
For years, Tesla’s main business has been selling cars. But its long-term vision is much bigger: a massive, on-demand fleet of autonomous vehicles and a humanoid robot in every home. The start of driverless testing is a significant step toward making that vision a reality and is giving investors renewed confidence.
Wall Street analysts are taking notice. Wedbush’s Dan Ives believes the AI and autonomous opportunity is worth at least $1 trillion to Tesla. He also expects that, under the Trump administration, the “regulatory spiderweb” that has slowed self-driving technology will now clear, allowing Tesla to fast-track its plans.
While Tesla isn’t the first to the party—Alphabet’s Waymo already has a large fleet of robotaxis—analysts like Ives believe Tesla will dominate the market over the next decade. They argue that no other company can match Tesla’s scale and its rapidly expanding AI footprint.
