MKBHD Praises Tesla Model Y Performance, Calls FSD Technology 'The Best'
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 17 2026
0mins
Should l Buy TSLA?
Source: Yahoo Finance
- Software Excellence: In his review of the Tesla Model Y Performance, MKBHD praised the 16-inch touchscreen software as 'the best,' although he noted the need for physical buttons to enhance user experience, highlighting Tesla's leadership in automotive software.
- Self-Driving Technology Praise: He described Tesla's self-driving technology as 'the best I've ever tried,' which not only boosts consumer confidence in Tesla but may also attract more users to its electric vehicles.
- FSD Subscription Model: CEO Elon Musk announced that the Full Self-Driving (FSD) service will be available as a $99/month subscription starting next month, a move that could drive technology adoption but raises concerns among experts about Tesla's fading technological edge.
- Strong Model Y Sales: According to Cox Automotive, the Model Y became the best-selling EV in the U.S. market in 2025, with over 93,000 units sold in Q4 and cumulative sales exceeding 357,528 units, demonstrating Tesla's robust performance in the electric vehicle market.
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Analyst Views on TSLA
Wall Street analysts forecast TSLA stock price to fall
30 Analyst Rating
12 Buy
11 Hold
7 Sell
Hold
Current: 411.710
Low
25.28
Averages
401.93
High
600.00
Current: 411.710
Low
25.28
Averages
401.93
High
600.00
About TSLA
Tesla, Inc. designs, develops, manufactures, sells and leases high-performance fully electric vehicles and energy generation and storage systems, and offers services related to its products. Its segments include automotive, and energy generation and storage. The automotive segment includes the design, development, manufacturing, sales and leasing of high-performance fully electric vehicles, and sales of automotive regulatory credits. It also includes sales of used vehicles, non-warranty maintenance services and collisions, part sales, paid supercharging, insurance services revenue and retail merchandise sales. The energy generation and storage segment include the design, manufacture, installation, sales and leasing of solar energy generation and energy storage products and related services and sales of solar energy systems incentives. Its consumer vehicles include the Model 3, Y, S, X and Cybertruck. Its lithium-ion battery energy storage products include Powerwall and Megapack.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Wireless Charging Approval: The FCC has granted Tesla a waiver to use Ultra Wideband (UWB) technology for wireless EV charging, marking a significant advancement in EV charging technology that is expected to enhance user experience and boost market competitiveness.
- Technical Details Revealed: The FCC noted that Tesla's wireless charging system operates at low power for short durations and will not interfere with other systems, ensuring safety and effectiveness during the charging process, thereby increasing consumer confidence in the new technology.
- Cybercab Production Plans: Tesla's Cybercab is set to begin production in April at a price of $30,000, and the integration of wireless charging technology may attract more consumer interest, further driving sales growth.
- FSD System Milestone: Tesla's Full Self-Driving (FSD) system has driven over 8.2 billion miles, with over 3 billion miles in urban conditions, showcasing the technology's extensive application potential despite some safety concerns.
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- New Model Launch: Tesla has opened U.S. orders for its Cybertruck priced at $59,990, which, while lower than the previous $79,990 version, still exceeds CEO Elon Musk's promised starting price of $40,000 from 2019, indicating market pricing pressures.
- Performance and Features: The new Cybertruck features dual-motor all-wheel drive with an estimated range of 325 miles, standard features include a powered tonneau cover and multiple power outlets, although it sacrifices some premium elements, it still offers significant utility.
- Market Expansion Strategy: As U.S. demand cools, Tesla is expanding Cybertruck availability overseas, having opened orders in the UAE, Saudi Arabia, and Qatar, with pricing starting at 435,000 riyals (approximately $116,000) in Saudi Arabia, highlighting the potential of international markets.
- Sales Expectations and Challenges: Despite production capacity expected to exceed 250,000 units annually, current quarterly sales are only about 5,000 units, indicating demand challenges for Tesla, which may need to explore commercial applications to boost sales.
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- Investment Strategy Shift: Stanley Druckenmiller sold all his Nvidia (NVDA) shares in 2024, considering the stock overvalued, yet expressed regret over this decision, indicating his keen insight into market dynamics.
- Significant Valuation Change: Nvidia's price-to-earnings ratio has dropped from 48x in 2024 to about 24x now, reflecting a market reassessment of its future growth, potentially providing investors with a more attractive entry point.
- Increased Alphabet Holdings: Druckenmiller raised his stake in Alphabet by 276%, now owning 385,000 shares, which constitutes 2.6% of his portfolio, demonstrating his confidence in the company's potential in the AI sector.
- Strong Cloud Business Growth: Alphabet's Google Cloud saw a 48% revenue increase in the latest quarter, exceeding $17 billion, indicating sustained demand for AI infrastructure and solutions, which may yield long-term returns for Druckenmiller's investment.
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- Druckenmiller's Investment Strategy: Stanley Druckenmiller sold all his Nvidia (NASDAQ: NVDA) shares in 2024, although he indicated he would consider buying again at the right price, reflecting his cautious stance on current market valuations.
- Nvidia Valuation Shift: Nvidia's price-to-earnings ratio has dropped from 48x in 2024 to about 24x now, indicating a market recalibration of growth expectations, which may present a re-entry opportunity for investors.
- Increased Alphabet Holdings: Druckenmiller boosted his Alphabet (NASDAQ: GOOGL) stake by 276% in Q4, now owning 385,000 shares, which constitutes 2.6% of his portfolio, suggesting optimism about the company's potential in the AI sector.
- AI Market Outlook: With the AI market projected to reach trillions in the coming years, Druckenmiller's investment choices may reflect confidence in the sustained demand for AI infrastructure and solutions.
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- Market Share Shift: Over the past decade, electric vehicles have gained significant market share, with Tesla's market cap reaching $1.3 trillion and a P/E ratio of 382, reflecting extremely high investor expectations but also potential risks.
- Uber's Market Leadership: Uber dominates the ride-hailing market with 202 million monthly active users and 3.8 billion completed trips, and it is projected to become the largest facilitator of AV trips by 2029, showcasing its foresight in technological transformation.
- Tesla's Challenges: Tesla's robotaxis are operational in Austin and the Bay Area but face multiple challenges in technology, regulation, and safety, prompting investors to reassess the reasonableness of its high valuation.
- Uber's Growth Potential: Through partnerships, Uber operates in seven markets and plans to expand to eight more cities by 2026, leveraging its massive user base and network effect to strengthen its competitive position in the autonomous vehicle sector.
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- Capital Flow Shift: Investors are moving away from tech and megacaps into underperforming sectors, with energy stocks up 22% year-to-date, reflecting strong responses to rising oil prices and sustained demand.
- Tech Sector Pullback: Concerns over AI potentially replacing traditional enterprise software tasks have led the Tech-Software Sector ETF (IGV) to decline 23% year-to-date, prompting investors to reassess tech stock valuations.
- Increased Defensive Investments: There is a rising focus on consumer staples, exemplified by Walmart (WMT) hitting an all-time high this month, indicating a market preference for stable returns amid volatility.
- Optimistic Market Outlook: UBS strategists predict that with the Federal Reserve easing rates, the S&P 500 could reach 7,700 by year-end, highlighting investment opportunities across financials, healthcare, and industrials.
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