Tesla Stock vs. Apple Stock: The Best buy Right Now, According to Wall Street

Tesla - The investment thesis for Tesla focuses on significant opportunities in electric vehicles (EV), autonomous driving, and humanoid robots, despite recent losses in EV market share due to CEO Elon Musk's political involvement [4] - Tesla plans to launch its first autonomous ride-hailing service in Austin, competing against Alphabet's Waymo, with a potential market share capture of "99%" according to Musk [5] - The company is also developing an autonomous humanoid robot called Optimus, with expectations of improving factory efficiency and potential sales to other businesses by the second half of next year [5] - Among 57 analysts, the median target price for Tesla is $307 per share, indicating a 4% downside from the current price of $320 [6] - Wall Street expects Tesla's adjusted earnings to grow at 15% annually through 2026, but the current valuation of 140 times earnings appears expensive, not accounting for future monetization of autonomous driving and humanoid robots [7] - Ark Invest projects that autonomous ride-sharing platforms could generate $4 trillion in revenue by 2030, while Citigroup estimates humanoid robots could generate $1.1 trillion by 2040, suggesting potential for accelerated earnings growth for Tesla [8] Apple - The investment thesis for Apple is based on its strong position in the smartphone market, with significant brand loyalty and pricing power, as evidenced by the average iPhone selling for more than twice the average Samsung smartphone [9] - Apple monetizes its installed base through services like iCloud, App Store advertising, and Apple Pay, enhancing its revenue streams [9] - The company has opportunities to monetize AI through its Apple Intelligence platform, which aims to automate everyday tasks, although current impacts have been minimal [10] - Apple faces challenges, including high tariffs on iPhone production primarily based in China and an antitrust lawsuit involving Alphabet that may limit services revenue from Google Search on Safari [11] - Wall Street anticipates Apple's earnings to grow at 6% annually through 2026, leading to a current valuation of 30 times earnings, which may be considered expensive [12]