Gary Black Saya Tesla Investors Will Demand Earnings Turn Positive 'At Some Point' - Tesla (NASDAQ:TSLA)

Core Viewpoint - Investors in Tesla Inc. are increasingly demanding positive earnings revisions, particularly for the years 2026 and 2030, as current estimates remain negative [2][3] Group 1: Earnings and Valuation - Tesla's stock valuation has significantly increased due to multiple expansion, with the P/E ratio rising from 60x in January 2024 to 196x currently [3] - Despite concerns, Tesla's future growth is perceived as strong, but the high P/E ratio makes valuation challenging [3] - The investor noted that Tesla's earnings revisions for 2026 and 2030 are currently negative, which is a concern for shareholders [2] Group 2: Competitive Landscape - The investor expressed that Tesla's competitors will eventually offer unsupervised autonomous driving, which could impact Tesla's stock valuation [3] - Automakers that do not invest in autonomous vehicles risk facing a "BlackBerry moment," potentially being left behind in the market [5] Group 3: Partnerships and Market Reactions - Tesla has partnered with Lemonade Inc. to offer reduced insurance rates for FSD-engaged driving, based on data indicating that the system is safer than human drivers [6] - The partnership has faced criticism, with some investors questioning its promotional nature and the implications for liability [6] - Tesla's stock price rose by 1.11% to $436.23 in pre-market trading following a 2.91% increase to $431.44 at market close [7]