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Your Tesla will become a humanless chauffeur, summoned via app
Your Tesla eases its way through the choked streets of Los Angeles and climbs the Sierra Nevada. It glitters with the lights of Las Vegas before continuing over to Yellowstone National Park, where the geysers blow and the buffalo stare from roadsides. Meandering through the Badlands and by Mount Rushmore, it pushes upward in elevation into the Rockies and then down to Denver. After the Tesla powers past the Midwest’s cornfields, it propels its way through Chicago’s multiple highway lanes, wedged between tractor trailers. In the final leg of the trip, the Tesla dips and zips through Pennsylvania’s rolling hills and maneuvers through the congested streets of Times Square, parking itself.
These Northern route stats: 3,241 miles in 54 hours, and your Tesla did all the driving for you. It was capable of seeing through heavy rain, fog, dust, and two cars ahead.
That’s the vision, or Tesla Vision, rather, of the not-so-distant future as announced by Tesla CEO Elon Musk during a press conference call on Wednesday, October 19. Outlining a future of self-driving cars, Musk set a goal for Tesla to make a fully autonomous road trip from Los Angeles to New York by the end of 2017. The trip would occur “without the need for a single touch” from the driver, including recharging the car’s battery. Owners would be able to Summon their vehicle, through a press of a button on an app, and the car would drive itself to wherever they are and pick them up – even if it’s across the country. The vehicle would charge on its own along the way without human intervention using something similar to the Snakebot that Tesla revealed last year.
“Our goal— I feel pretty good about this goal — we’ll be able to do a demonstration drive of full autonomy all the way from LA to New York. So basically from a home in LA to, let’s say. dropping you off in Times Square, in New York, having the car park itself by next year. Without the need for a single touch, including the charger.”, says Musk.
When you want your car to return, tap Summon on your phone. It will eventually find you even if you are on the other side of the country
— Elon Musk (@elonmusk) October 20, 2016
This Level 5 “full self-driving or driverless capacity” will now be available on the 2,000 cars a week that Tesla is currently manufacturing. That means the Tesla Model S and Model X vehicles in production as well as the upcoming Model 3 will have what Musk terms “Hardware 2,” which allows for full self-driving capability at “a safety level substantially greater than that of a human driver,” according to Musk. The hardware includes:
- 8 surround cameras which provide 360 degree visibility around the car at up to 250 meters of range;
- 12 updated ultrasonic sensors that allow detection of both hard and soft objects at nearly twice the distance of the prior system; and,
- a forward-facing radar with enhanced processing that provides additional data on a redundant wavelength.
The system, which has been more than a year in testing, will see continual software updates as the system learns through data collected from ‘Shadow Mode’ and self-driving algorithms are refined. Musk said that it would be some time before Tesla’s software would advance to meet capabilities of Hardware 2, so it will be disabled until it “reaches parity following full validation with Hardware 1, probably in December.” Updates are likely to occur every 2-3 months thereafter. Nonetheless, and in lieu of required regulatory approval, Musk claims that the safety level of this autonomous driving will be at least twice that of a human, or better.
Tesla’s current Autopilot system has been replaced with a newer generation ‘Enhanced Autopilot’ that will leverage the new suite of sensors to provide more precise lane keeping, lane changes without driver input, the ability to exit freeways, and an overall smoother and safer experience. Enhanced Autopilot and the Fully Self-Driving Capability, autonomous mode, is being made available through Tesla’s Model S and Model X Design Studio as optional upgrades.
Tesla (NASDAQ: TSLA) reports its earnings for Q3 today. Here’s what to expect, as the company will reveal its balance sheet after the market closes on Wednesday.
Tesla already reported deliveries just after Q3 ended, and it demolished Wall Street consensus estimates of roughly 462,000 vehicles. Tesla delivered 486,532 cars in the third quarter, which was a big beat, but was down 2.1 percent from the same quarter last year. Energy storage deployments were 13.7 GWh, up year-over-year.
Tesla showrooms picked clean ahead of Q3 end as demand looks strong
For the quarter, analysts have already compiled their predictions for what Tesla will report this afternoon:
- Total Revenues: $28.34B
- Non-GAAP EPS: $0.43
- Operating Margin: 2.5%
- Operating Income: $721M
- Free Cash Flow: ~-$4.51B
Here are a few things we are looking forward to hearing about on the call:
Automotive Gross Margin and Overall Profitability
This was 16.3 percent in Q2, down from 19.2 percent in Q1, and was impacted by warranty charges and some fading regulatory credits. Consensus implies overall gross margin near 18 percent, but a miss here would potentially reinforce concerns about pricing pressure on its vehicles.
Pay attention to energy storage margins as well, especially since Tesla missed GWh expectations, although it was still a strong quarter.
Robotaxi/Cybercab, Unsupervised FSD, and Optimus Progress
The Say questions from retail investors usually focus on these types of projects, and this quarter is no different. Scaling the Cybercab fleet beyond Austin amid the open NHTSA safety review, timeline for Unsupervised FSD in customer cars, Robotaxi unit economics, and Optimus cost per unit plus when it could start generating revenue, are all things to be looking for.
Any concrete timelines or regulatory path details will likely move the stock more than the near-term numbers. SpaceX merger speculation, which was detailed during SpaceX’s earnings call last night, may also surface, although the key details were shared last night.
Elon Musk just confirmed the Tesla and SpaceX merger step everyone was waiting for
Say Investor Questions
- How does the Cybercab fleet scale past Austin, and what’s the regulatory path outside Texas given NHTSA’s open safety review?
- When can we anticipate FSD unsupervised in customer cars?
- When will the CyberCab be available for customer purchase/ownership?
- What’s the unit economics per paid robotaxi mile, and how does it compare to the thirty-cent target?
- Tesla has acknowledged that HW3 vehicles cannot support unsupervised FSD. When will owners know whether they can upgrade their hardware for free, and when will Tesla provide a clear plan?
The full Earnings Call will be streamed this evening after market close around 5 p.m. this evening.
SpaceX confirmed the date of Starship’s 15th launch window with some massive ambitions for the mission, as it will attempt to catch Ship for the first time.
CEO Elon Musk confirmed during SpaceX’s Earnings Call last night on October 20 that it would launch Starship for its 15th test flight in November, and there are some incredible things the company wants to try, making it perhaps the most groundbreaking launch in the program’s history.
SpaceX delivers blockbuster Q3 results as Super Intelligence segment booms
The most major development of the call was SpaceX’s intention to catch Ship alongside catching the Super Heavy Booster, something that has happened in the past. SpaceX showed an animation of the Ship catch, which will be done on the launch tower’s chopsticks:
SpaceX has released a new Starship tower catch animation for the upcoming Flight 15! https://t.co/kStn01Da8u
— Truthful🛰️ (@Truthful_ast) October 20, 2026
This monumental goal is to catch both the Ship and Booster in a dual-catch scenario, an incredible feat since SpaceX has never been able to reuse a Ship after launch. Musk said it would be “the first time that an orbital launch vehicle has been fully recovered,” and said it would be a “profound technology milestone.”
Musk said the odds of success on this first Ship catch attempt are “more likely than not,” but SpaceX is ultimately prepared for more tries moving forward. The SpaceX frontman said that, starting next year, Starship would have a “steady stream” of flights through the end of the year.
The cadence will accelerate in 2027, with Musk stating the company plans to target weekly flights in the first half of 2027 and twice-weekly by year-end.
The Flight 15 attempt follows that of Flight 14, which took off in late September and was Starship’s first orbital mission. It deployed 26 Starlink V3 satellites, accomplished a controlled ocean splashdown of both stages, and shed more light on potential challenges for the program moving forward.
As of now, the Starship program is firing on all cylinders.
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Wall Street analysts rapidly raised price targets on SpaceX (NASDAQ: SPCX) after the company reported a bullish third quarter for 2026 following the market close on October 20. Shares were sent sharply higher in after-hours and premarket trading.
SpaceX posted revenue of $14.6 billion, a 161 percent year-over-year increase that comfortably topped consensus estimates, which fell near $12.7 billion. The company also posted a net profit of $4.4 billion from a prior-year loss, with adjusted EBITDA reaching $8.8 billion.
More price target movement:
🚀 Cantor Fitzgerald lifted its target to $345 from $246 (Overweight).
🚀 Barclays raised its target to $300 from $254 (Overweight).
🚀 Citi increased its target to $240 from $200 (Buy),
🚀 UBS moved to $230 from $210 (Buy)
🚀TD Cowen raised its target to $224 from $200 (Buy).
🚀Morgan Stanley held an Overweight rating with a $300 target.
🚀Other firms also adjusted higher, including Wells Fargo (to $274 from $214) and Clear Street (to $248 from $217). Analysts broadly cited the strong quarterly print, accelerating AI compute expansion, Starlink progress, and Starship milestones as drivers of higher long-term growth and earnings power.— TESLARATI (@Teslarati) October 21, 2026
Its Super Intelligence (AI) division generated roughly $7.6 billion and became the largest revenue contributor, growing nearly 830 percent year-over-year, while the Connectivity segment delivered $5.2 billion on strong subscriber additions that lifted the consumer base to 13.6 million for Starlink.
The Earnings Call proved especially catalytic, as CEO Elon Musk and CFO Bret Johnsen outlined Q1 2027 revenue guidance of $33 billion to $37 billion, which was far above the roughly $22 billion analysts had modeled, alongside fourth-quarter capital-expenditure plans of $35 billion to $40 billion focused on AI compute infrastructure at sites including Memphis and Southaven.
SpaceX delivers blockbuster Q3 results as Super Intelligence segment booms
Management targets 2.5 to 3 gigawatts of nameplate compute capacity by year-end and discussed pathways to 13 gigawatts or more by the end of 2027. Musk described relentless demand from hyperscalers and other customers, with compute pricing supporting payback periods of less than a year and potentially as short as six months.
Additional highlights included Starship’s recent orbital success and V3 satellite deployment, Starlink pricing and enterprise momentum, rapid Grok Bot adoption, spectrum expansion plans, and the formation of special committees to explore a possible combination with Tesla.
These elements prompted a wave of price-target increases:
- JPMorgan more than doubled its target to $500 from $240 while maintaining an Overweight rating.
- Cantor Fitzgerald lifted its target to $345 from $246 (Overweight).
- Barclays raised its target to $300 from $254 (Overweight).
- Citi increased its target to $240 from $200 (Buy),
- UBS moved to $230 from $210 (Buy), and
- TD Cowen raised its target to $224 from $200 (Buy).
- Morgan Stanley held an Overweight rating with a $300 target.
- Other firms also adjusted higher, including Wells Fargo (to $274 from $214) and Clear Street (to $248 from $217). Analysts broadly cited the strong quarterly print, accelerating AI compute expansion, Starlink progress, and Starship milestones as drivers of higher long-term growth and earnings power.
Shares, which closed at $147.79 on October 20, jumped roughly 8 percent in early premarket trading on October 21 as investors digested the results and the newly elevated Street targets.
The average analyst price target has moved higher, which reflects greater conviction in SpaceX’s trajectory across launch, connectivity, and the Super Intelligence business, even as elevated spending remains a point of focus.
Tesla reports Q3 Earnings today: here’s what to expect
SpaceX confirms Starship 15 launch window with massive ambitions
