Truist Flags Autonomous Driving Volatility Despite Higher Tesla (TSLA) Price Target

Tesla, Inc. (NASDAQ:TSLA) is one of the AI Stocks in the Spotlight for Investors. On December 19, Truist Securities raised its price target on the stock to $444.00 from $406.00 while maintaining a “Hold” rating.

The firm believes that autonomous driving developments will lead to continued volatility in the stock despite long-term AI vision. A large part of Tesla’s value is linked to how successfully it is able to commercialize its AI products and services, it said. This is particularly true for its Robotaxi service, which is enabled by its FSD technology.

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“We believe new city announcements will be forthcoming in 2026, but timing of these will be unpredictable. Further, imperfections in FSD outcomes (see this note) and announcements from competitors will contribute to the volatility.”

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

While we acknowledge the risk and potential of TSLA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TSLA and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.