Tesla shares hit their highest in practically a yr on Monday after CEO Elon Musk said the electric-vehicle maker was testing its robotaxis without security screens in the entrance passenger seat.
While much of Tesla’s $1.53 trillion valuation — the highest of any automaker globally — is tied to investor optimism around its self-driving technology and humanoid robot ambitions, the bulk of its income and revenue still comes from promoting electric autos.
Shares of the company rose as much as 4.9%, hitting $481.37, their highest in practically a yr.
Tesla is testing its robotaxis without security screens in the entrance passenger seat. Above, a robotaxi in Austin, Texas. REUTERS
The stock had hit a document high of $488.54 on Dec.18 last yr on hopes that the Trump administration would ease regulatory hurdles for self-driving automobiles.
Tesla launched a restricted robotaxi service in Austin, Texas, in June utilizing modified Model Y autos outfitted with Full Self-Driving. Early operations were geo-fenced and included a human “safety monitor” in the passenger seat.
“Testing is underway with no occupants in the car,” Musk said in an X post on Sunday.
Investors and analysts are betting that Tesla will intensify testing and quickly deploy driverless taxis as it prepares to launch its Cybercab model next yr.
“Testing is underway with no occupants in the car,” Elon Musk said in an X post on Sunday. REUTERS
“The news Tesla is testing robotaxis without the safety monitors is in line with our expectations that the company is making progress in its testing, in line with management’s statements during the third quarter earnings call,” said Seth Goldstein, senior equity analyst at Morningstar.
“The market is cheering the progress, sending shares higher today.”
Tesla has long touted its robotaxi and self-driving taxi plans, though regulatory obstacles and technical setbacks have repeatedly slowed their progress.
Alphabet unit Waymo leads with more than 2,500 business robotaxis across main US cities, as of November. CNBC reported last week that Waymo has been working about 450,000 paid rides per week.