Cantor Bangs the Drum on Tesla Stock
Tesla (NASDAQ:TSLA) and timetables aren't exactly the best of friends. Delays have been a recurring theme across many of its past projects, so targets should generally be taken with a healthy dose of caution. That's also been the case with the planned launch of the robotaxi in Austin, Texas. Initially slated for June 12, the rollout has now been tentatively rescheduled for June 22, though even that date remains subject to change.
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Still, despite the shifting timelines, Tesla fans are hoping the launch will reignite enthusiasm around the EV giant and serve as a much-needed catalyst at a time when the company has been struggling with lackluster sales.
In the meantime, Tesla continues testing its fully self-driving (FSD) Model Y vehicles without drivers behind the wheel. Elon Musk has indicated the initial robotaxi deployment will be limited in scale, with a small fleet that gradually ramps up and expands to additional cities over time.
Cantor analyst Andres Sheppard has high hopes for the service, noting: 'As of 1Q25, Tesla's FSD (with supervision) has driven >3.5B cumulative miles, and we continue to believe that TSLA will capture a significant share of the autonomous driving and ride-sharing industries. We see this as a software-as-a-service, high-margin model, and we expect TSLA to have the ability to rapidly scale following commercialization. Tesla is then planning to roll out its cybercab (no steering wheel or pedals) in 2026.'
Beyond the robotaxi launch, Sheppard also points to several other potential growth drivers on the horizon. Tesla management is expected to revise its 2025 automotive growth targets next quarter – currently framed as a 'return to growth' – and may also provide updated guidance for its Energy Storage business, which is already projecting over 50% year-over-year growth after more than doubling in 2024.
Other important upcoming catalysts include the launch of FSD in China (which began in 1Q25), the anticipated rollout in Europe (which Sheppard believes is still on track for the first half of 2025, pending regulatory approval), high-volume production of the Optimus Bot (expected in 2026), initial customer deliveries of Optimus (slated for 2027), and the planned introduction of the Semi Truck, with production expected to begin in 2026 – marking Tesla's entry into autonomous trucking.
So, what does this ultimately mean for investors? Sheppard assigns Tesla with an Overweight (i.e., Buy) rating and a $355 price target, implying an 8% upside from current levels. (To watch Sheppard's track record, click here)
13 other analysts join Sheppard in the bull camp yet with an additional 12 Holds and 9 Sells, Tesla stock claims a Hold (i.e., Neutral) consensus rating. Going by the $286.14 average price target, a year from now, shares will be changing hands for a ~10% discount. (See TSLA stock forecast)
To find good ideas for stocks trading at attractive valuations, visit TipRanks' Best Stocks to Buy, a tool that unites all of TipRanks' equity insights.
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