Tesla hawk says shares of beaten-down stock could rally 40% on ‘golden age' of robotaxis

Core Viewpoint - Tesla is on the verge of entering a "golden age of autonomous" driving with the upcoming launch of its robotaxi service, which could significantly increase its market valuation and stock price [1][2]. Group 1: Autonomous Driving Opportunity - The autonomous driving market represents a $1 trillion opportunity for Tesla, potentially elevating its market capitalization to$2 trillion by the end of 2026 [2]. - The launch of robotaxis in Austin, Texas, is set for the end of June, with plans for future rollouts in Los Angeles and San Francisco [5]. Group 2: Market Impact and Stock Performance - Analyst Dan Ives has raised Tesla's price target from $350 to$500, anticipating a 40% increase in stock value due to the robotaxi rollout [1]. - Tesla's stock has faced challenges, with shares down approximately 10% year-to-date, partly due to backlash over Elon Musk's involvement in government matters [4][11]. Group 3: Challenges and Competition - Despite the promising robotaxi launch, Tesla is experiencing a decline in overseas sales, with a reported 49% drop in European sales in April compared to the previous year [13]. - Chinese competitor BYD has surpassed Tesla in electric vehicle sales in Europe for the first time, indicating increasing competition in the market [13].