Guggenheim Reiterates Sell on Tesla (TSLA) Despite FSD and Robotaxi Updates

Tesla, Inc. (NASDAQ:TSLA) is one the AI Stocks Analysts Are Watching Closely. On August 12, Guggenheim analyst Ronald Jewsikow reiterated a Sell rating on the stock with a $175.00 price target. The firm said that it is sticking with its sell rating and that it is cautious on the company’s full self-driving.

CEO Elon Musk unveiled some important updates around both the Robotaxi operations in Austin and the upcoming FSD model. The updates were made in a series of posts on X over the weekend.

While Tesla shares “somewhat paradoxically” rallied on the news, names like Uber and Lyft who were previously sensitive to Tesla autonomy, did too. The firm considers this as “mixed signals from the market.”

Guggenheim Reiterates Sell on Tesla (TSLA) Despite FSD and Robotaxi Updates

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“On the Robotaxi operations in Austin, CEO Musk indicated it would be open to the public next month, which we believe is earlier than investor expectations and a sign of confidence in the service and feedback from the invite-only riders to date. We believe the expanded FSD model has positive implications for bulls focused on the potential for TSLAs fleet eventually becoming Robotaxis (positive read on inference compute), and the opening of the Austin Robotaxi experience to the public is a key step on the growth path of inviting a potentially more critical set of consumers. While safety drivers will remain, and no timeline has been provided for their removal, bulls have been willing to overlook the optics of safety drivers in TSLA vehicles, and we see no reason why that would change now.”

Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives.

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Disclosure: None.