Tesla Tests Driverless Robotaxis in Austin, Stock Rises 3.5%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 15 2025
0mins
Source: Newsfilter
- Driverless Testing: Tesla is testing driverless cars on public roads in Austin, marking a significant advancement in its autonomous driving technology, although it must still comply with traffic laws, which is expected to enhance the company's competitiveness in the autonomous vehicle market.
- Stock Surge: Tesla's stock rose 3.5% to $475.11 at Monday's close, with an 18% increase year-to-date, reflecting market optimism about its driverless technology prospects, potentially attracting more investor interest.
- Robotaxi Service Expansion: Since launching its Robotaxi service in Austin in June, Tesla plans to double its fleet from 30 vehicles to 60 by the end of 2025, aiming to increase market share and strengthen brand influence.
- Safety Regulation Challenges: Despite reporting seven collisions in its Austin fleet, the presence of safety supervisors raises questions about safety and regulatory compliance, and upcoming regulatory changes may impact the rollout speed of its driverless services.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy TSLA?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on TSLA
Wall Street analysts forecast TSLA stock price to fall
30 Analyst Rating
12 Buy
11 Hold
7 Sell
Hold
Current: 425.300
Low
25.28
Averages
401.93
High
600.00
Current: 425.300
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.
- Record Deliveries: Tesla delivered 480,126 vehicles in Q2, marking a 25% year-over-year increase and surpassing analyst expectations of 406,000, indicating strong demand and growth potential in the electric vehicle market.
- Stock Price Reaction: Despite the record deliveries, Tesla's stock fell approximately 7.5% following the report, its worst performance in nearly a year, reflecting market concerns about future profitability.
- Production vs. Deliveries: Tesla produced 451,758 vehicles in Q2, falling short of deliveries, suggesting the company may have drawn down inventory to meet delivery targets, raising questions about the sustainability of sales.
- Margin Pressure: With Tesla introducing more competitively priced models, the automotive gross margin was 19% in Q1, and there are concerns that the high delivery volume in Q2 could further compress margins, impacting the company's long-term profitability.
See More
- Tesla Stock Purchase: Cathie Wood's Ark funds purchased 96,935 shares of Tesla at a 7.49% drop, amounting to approximately $38.1 million, indicating her strong conviction in Tesla's future growth despite recent volatility.
- ARK Innovation ETF Performance: In 2025, the ARK Innovation ETF achieved a 35.49% return, significantly outperforming the S&P 500's 17.88%, yet as of July 2, 2023, it has a five-year annualized return of -8.56%, highlighting the impact of market fluctuations on long-term performance.
- Impact of Technological Innovation: Wood emphasizes that the deflationary effects of technological innovation, particularly in AI, will enhance economic productivity, although her funds faced challenges in Q1 2026, she remains optimistic about future growth potential.
- Investor Confidence Erosion: Despite Wood's bullish outlook on Tesla and tech stocks, the ARK Innovation ETF experienced approximately $1.3 billion in net outflows over the past 12 months, reflecting market skepticism regarding her investment strategy and the associated uncertainties.
See More
- Shorting Tech Stocks: Notable investor Michael Burry disclosed short positions against Nvidia, Tesla, and Micron on his Substack, reflecting concerns over the AI trade, particularly as these stocks reach historical valuation extremes.
- Micron's Impressive Earnings: Micron's fiscal Q3 revenue surged over fourfold year-over-year to $41.5 billion; however, Burry argues that its stock price remains above historical averages, suggesting that market optimism about its future profitability may be overly optimistic.
- Tesla Delivery Figures: Tesla delivered 480,126 vehicles in Q2, a 25% year-over-year increase, yet its stock trades at over 350 times earnings, indicating high market expectations for future profitability, which Burry questions.
- Nvidia's Strong Growth: Nvidia's fiscal Q1 revenue rose 85% year-over-year to $81.6 billion, yet its stock trades at a 30 times earnings multiple, leading Burry to suggest that such valuations may not be sustainable, especially if the market's enthusiasm for AI proves to be a bubble.
See More
- Short Position Disclosure: Renowned hedge fund manager Michael Burry revealed his short positions against Nvidia, Tesla, and Applied Materials this week, indicating strong skepticism towards AI-related stocks, particularly as their valuations reach historical highs.
- Micron Technology Risks: Burry highlighted that Micron's stock trades significantly above its 200-day moving average, with its fiscal Q3 revenue soaring over 400% year-over-year to $41.5 billion; however, he believes such high earnings levels are unsustainable and may face downside risks.
- Nvidia Valuation Defense: Despite Nvidia's fiscal Q1 revenue rising 85% year-over-year to $81.6 billion, with data center revenue climbing 92%, its stock trades at about 30 times earnings, leading Burry to question whether this high valuation can be maintained amid potential AI bubble concerns.
- Tesla Profitability Challenges: Tesla delivered 480,126 vehicles in Q2, up 25% year-over-year, yet its stock fell 7.5%, with Burry arguing that its high price-to-earnings ratio exceeding 350 times raises significant risks, especially if future profitability from robotaxi and software services is delayed.
See More
- Short Position Disclosure: Renowned investor Michael Burry revealed his short positions against Nvidia, Tesla, Applied Materials, Caterpillar, and the iShares Semiconductor ETF on his Substack, indicating a strong skepticism towards AI-related stocks that may prompt a market reassessment of these equities.
- Micron Technology Risks: Burry highlighted that Micron's stock trades significantly above its 200-day moving average, with revenue in fiscal Q3 2026 soaring over 400% year-over-year to $41.5 billion; however, he argues that such high earnings levels are unlikely to be sustainable, posing downside risks.
- Nvidia Valuation Controversy: Despite Nvidia's fiscal Q1 2026 revenue surging 85% year-over-year to $81.6 billion, with data center revenue climbing 92%, the stock trades at about 30 times earnings, leading Burry to question whether this high valuation can endure, especially amid concerns of an AI bubble.
- Tesla Profitability Pressure: Tesla delivered 480,126 vehicles in Q2, up 25% year-over-year, yet its stock fell 7.5% on the report day; Burry believes its 350 times earnings valuation is excessive, and future profit growth expectations may be overly optimistic, warranting caution from investors.
See More
- Delivery Exceeds Expectations: Rivian delivered 12,194 vehicles in Q2, surpassing its guidance of 9,000 to 11,000, indicating strong market demand and improved production capabilities, which is likely to boost investor confidence.
- Full-Year Guidance Raised: The company raised its full-year delivery target from 62,000-67,000 to 65,000-70,000 vehicles, reflecting confidence in its ability to ramp up deliveries in the second half, although this requires nearly doubling the delivery pace.
- Mixed Financial Performance: Despite an 11% year-over-year revenue increase to $1.38 billion in Q1, the automotive segment reported a $62 million gross loss, highlighting profitability challenges during the expansion phase, necessitating close monitoring of the R2 model's profitability.
- Enhanced Capital Support: Rivian secured up to $4.5 billion in Department of Energy loans and increased its Georgia plant's annual capacity by 50% to 300,000 vehicles, strengthening its capital position during the rollout of new models and reducing associated risks.
See More











