5 Best Electric and Autonomous Driving Stocks to Buy According to Hedge Funds

In this article, we will list the 5 Best Electric and Autonomous Driving Stocks to Buy According to Hedge Funds. Please visit 10 Best Electric and Autonomous Driving Stocks to Buy According to Hedge Funds if you’d like to see an extended list and the methodology behind it.

5. Tesla Inc. (NASDAQ:TSLA)

Tesla Inc. (NASDAQ:TSLA) is one of the 10 best electric and autonomous driving stocks to buy according to hedge funds.

On June 11, Tesla Inc. (NASDAQ:TSLA) announced that its supervised Full Self-Driving (FSD) technology has received approval in Denmark, with a rollout anticipated soon. The Danish Road Traffic Authority clarified that this support is still tentative because the European Union Commission still needs to formally approve the system.

Currently, this supervised FSD clearance applies exclusively to EU nations that recognize the initial Dutch regulatory approval granted in April, which now includes Denmark and Estonia, the latter having cleared the software last month.  A comprehensive EU-wide approval would extend deployment to all member states, whereas a rejection would void the Dutch clearance within six months, subsequently invalidating Denmark’s approval.

On June 10, Piper Sandler analyst Alexander Potter maintained an Overweight rating and a price target of $500 for Tesla Inc. (NASDAQ:TSLA). He observed that there is a significant amount of skepticism regarding the effectiveness of the full self-driving software developed by Tesla.

Clients often use Waymo’s larger robotaxi fleet as an excuse to doubt the automaker’s preparation for autonomous driving. This doubt is further magnified by the absence of universally accepted, directly comparable datasets used to measure metrics such as vehicular crashes and system disengagements.

Despite these concerns, the analyst believes the company has effectively attained Level 4 autonomy. This conclusion is supported by various factors, including the automaker’s active promotion of insurance products, manufacturing of Cybercabs devoid of pedals or steering wheels, and its efforts to acquire robotaxi infrastructure permits.

Tesla Inc. (NASDAQ:TSLA) is engaged in the manufacturing, sale, and leasing of electric vehicles, as well as energy generation and storage systems. The company offers electric vehicles, solar panels, and energy storage products such as Powerwall and Megapack. It also offers maintenance and financing solutions for self-driving AI software, along with insurance services for residential, commercial, and industrial customers.