Wedbush’s Dan Ives and Requisite Capital’s Bryn Talkington see Tesla Inc. (NASDAQ:TSLA) evolving beyond autos, with AI, autonomy, and robotics driving its long-term story while near-term execution remains under scrutiny.
Tesla’s Shift Toward AI And Autonomy
Ives told CNBC on Thursday that Tesla is no longer just a carmaker but “much more of an AI company, disruptive tech, than a car company.”
He pointed to autonomous driving, robotaxis, and robotics as the core drivers of future value, noting that expansion into more cities, such as Houston and Dallas, will signal progress toward a broader network.
Ives added that achieving the next leg of valuation growth depends on scaling these AI-driven businesses, including projects like Optimus and Cybercab.
Earnings Still Matter As A Credibility Test
Talkington told CNBC that investors still need clarity on fundamentals, calling the earnings report a credibility test for a company in transition.
She emphasized the importance of margins and capital spending, questioning whether investments are focused on vehicles or on newer initiatives such as advanced manufacturing facilities.
Talkington also described Tesla as a “physical AI company,” highlighting its advantage from real-world driving data compared with rivals relying primarily on external technology.
Execution, Timelines, And Stock Outlook
Ives stressed that Tesla must show realistic timelines for scaling production and expanding its autonomous footprint, alongside signs of stabilizing demand in key markets like China and Europe.
He said broader rollout across multiple cities will be critical to building a global network.
Talkington remained positive in the long term but cautioned that progress could take several quarters, noting that the stock faces technical resistance in the near term, even if stronger traction could eventually push it higher.
On Wednesday, Tesla reported mixed first-quarter results while highlighting progress in AI, autonomy, and future production plans.
Earnings Mixed as Revenue Misses, EPS Beats
Tesla posted first-quarter revenue of $22.71 billion, up 16% year-over-year but missing estimates, while adjusted earnings of 41 cents per share beat expectations. Automotive revenue rose 16% to $16.23 billion.
AI, Robotaxis and Production Outlook in Focus
The company pointed to growth in AI and autonomy, with robotaxi paid miles nearly doubling sequentially and FSD subscriptions reaching 1.28 million, up 51% year-over-year.
Tesla also expanded robotaxi rollouts to more cities and said Cybercab could eventually replace the Model Y as its highest-volume vehicle.
Looking ahead, Tesla expects volume production of the Cybercab and Semi this year and plans to begin operations at its first large-scale Optimus factory in the second quarter.
The company is also preparing a next-generation Optimus production line in Texas with long-term capacity of up to 10 million robots annually, while expressing confidence in continued momentum across its auto, AI, and energy businesses.
TSLA Price Action: Tesla shares were down 2.93% at $376.16 during premarket trading on Thursday, according to Benzinga Pro data.
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