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Tesla is becoming the company of choice for next-generation auto workers
Tesla’s first handover ceremony for its Made-in-China Model 3 in Gigafactory 3 was memorable for a variety of reasons. For one, it proved that Tesla could meet or even exceed the already-ambitious goals of CEO Elon Musk. It was also an event that was made extra special when a young GF3 worker decided to propose to his partner with his blue MIC Model 3.
The scene is representative of a trend that seems to be present in Tesla’s ranks: the company is becoming the de facto carmaker of choice for the next generation of auto workers. Gigafactory 3’s workers who were present at the handover ceremony were mostly young. This extends to the company’s executives as well. Unlike conventional executives from legacy auto, who are populated by veterans who have been in the business for decades, Tesla’s executives are young, aggressive, and even a tad bit ambitious.
This observation was mentioned by Tesla owner-enthusiast @Ray4Tesla in a tweet following the handover event in Shanghai. Several executives from Tesla attended the MIC Model 3 delivery event, and all of them were in their 30s and 40s. They were articulate, energetic, and seemingly very motivated. In a way, the energy exuded by Tesla China’s executives was fitting for a company whose mission is literally to accelerate the advent of sustainability.
Tesla’s allure for young professionals is not just limited to China. Recent comments from Jorg Steinbach, the Economics Minister of Brandenburg, suggested that Germany may be looking to Tesla to attract young talent as well. “I am optimistic that young people from all over Germany and far beyond want to take part in this project,” he said, adding that the arrival of the electric car maker could allow the region’s workers to future-proof their jobs.
Perhaps it’s Tesla’s disruptive nature, or its startup nature, but the company continues to rank high among young job seekers. Working at Tesla is notoriously challenging, filled with long hours and hyper-ambitious targets. It’s essentially a Silicon Valley startup, but instead of a mobile app or an internet-based service, the company’s product happens to be electric cars and battery storage devices. Stories from former workers at Tesla tell of intense work environments and sudden changes of pace. Yet, it is also one that the best and brightest find very difficult to pass up.
Employer branding specialist Universum’s 2019 survey found that Tesla and SpaceX, two of CEO Elon Musk’s companies, are perceived by engineering students as the best employers in the country. For many young workers, particularly those whose idealism is still intact, there are few companies in the world worth working for, and one of them happens to be Tesla. Overall, it appears that for many of these young workers, the challenges that come with a job at Tesla are well worth it.
Another reason for this is likely Tesla CEO Elon Musk. Bold and daring, Musk has been compared by the media to billionaire-genius-superhero Tony Stark/Iron Man. Just like the fictional Stark, Musk barrels through his projects with an intensity that’s near-obsessive, and at times, with seemingly little regard for his personal safety. While conventional auto CEOs are thought to spend their days behind a desk and at meetings, Musk is out on the roads testing the limits of Autopilot and Full Self-Driving on his personal vehicle. Musk is also known to get his hands dirty when needed, with the CEO being spotted torquing bolts with Tesla’s workers during the buildout of Tesla’s GA4 line for the Model 3 in the Fremont factory.
Ultimately, it is quite inspiring to work for a company whose goal is not just to make money every quarter, but one that fights a far more important battle. It is also inspiring to work under a leader who puts himself in the front lines. This certainly seems to be the case, with a survey from job search marketplace Hired indicating that Musk is currently perceived by job seekers as the most inspiring leader in tech. This is something that has been noticed by veteran Shark Tank judge Kevin O’Leary, better known by his tongue-in-cheek nickname, Mr. Wonderful, as well.
Prior to being a TSLA investor, O’Leary had been critical of the electric car maker. But one of the tipping points for the investing veteran came after watching electric vehicle races that involve engineering students from various schools. Automakers would usually send their HR teams to these races, in an effort to attract up-and-coming talent. But after each race, the Shark Tank judge realized that the winning teams all head over to one company: Tesla. This, according to O’Leary, is a big advantage for the electric car maker.
“Every one of these engineers, the smoking hot kids that sit with their cars, the men and women that sleep with them for 24 hours a day; it’s an unusual culture I’ve never seen before. They all want to work at Tesla. Why? Because the teams are six to eight people. If they go to a legacy car company, they get drowned out in the back somewhere. These smart, young, men and women make a big difference as interns. I can’t believe the access to talent they have,” O ‘Leary said.
With this in mind, it appears that Tesla’s future as an electric car maker is secured, at least with regards to its talent pool. Provided that the company maintains its course, and its leadership remains as motivated, there is very little doubt that the disruptor from Silicon Valley could attract the best and brightest workers when needed.
Tesla stock (NASDAQ: TSLA) closed at an all-time high on Tuesday, jumping over 3 percent during the day and finishing at $489.88.
The price beats the previous record close, which was $479.86.
Shares have had a crazy year, dipping more than 40 percent from the start of the year. The stock then started to recover once again around late April, when its price started to climb back up from the low $200 level.
This week, Tesla started to climb toward its highest levels ever, as it was revealed on Sunday that the company was testing driverless Robotaxis in Austin. The spike in value pushed the company’s valuation to $1.63 trillion.
Tesla Robotaxi goes driverless as Musk confirms Safety Monitor removal testing
It is the seventh-most valuable company on the market currently, trailing Nvidia, Apple, Alphabet (Google), Microsoft, Amazon, and Meta.
Shares closed up $14.57 today, up over 3 percent.
The stock has gone through a lot this year, as previously mentioned. Shares tumbled in Q1 due to CEO Elon Musk’s involvement with the Department of Government Efficiency (DOGE), which pulled his attention away from his companies and left a major overhang on their valuations.
However, things started to rebound halfway through the year, and as the government started to phase out the $7,500 tax credit, demand spiked as consumers tried to take advantage of it.
Q3 deliveries were the highest in company history, and Tesla responded to the loss of the tax credit with the launch of the Model 3 and Model Y Standard.
Additionally, analysts have announced high expectations this week for the company on Wall Street as Robotaxi continues to be the focus. With autonomy within Tesla’s sights, things are moving in the direction of Robotaxi being a major catalyst for growth on the Street in the coming year.
Elon Musk
Tesla needs to come through on this one Robotaxi metric, analyst says
“We think the key focus from here will be how fast Tesla can scale driverless operations (including if Tesla’s approach to software/hardware allows it to scale significantly faster than competitors, as the company has argued), and on profitability.”
Tesla needs to come through on this one Robotaxi metric, Mark Delaney of Goldman Sachs says.
Tesla is in the process of rolling out its Robotaxi platform to areas outside of Austin and the California Bay Area. It has plans to launch in five additional cities, including Houston, Dallas, Miami, Las Vegas, and Phoenix.
However, the company’s expansion is not what the focus needs to be, according to Delaney. It’s the speed of deployment.
The analyst said:
“We think the key focus from here will be how fast Tesla can scale driverless operations (including if Tesla’s approach to software/hardware allows it to scale significantly faster than competitors, as the company has argued), and on profitability.”
Profitability will come as the Robotaxi fleet expands. Making that money will be dependent on when Tesla can initiate rides in more areas, giving more customers access to the program.
There are some additional things that the company needs to make happen ahead of the major Robotaxi expansion, one of those things is launching driverless rides in Austin, the first city in which it launched the program.
This week, Tesla started testing driverless Robotaxi rides in Austin, as two different Model Y units were spotted with no occupants, a huge step in the company’s plans for the ride-sharing platform.
Tesla Robotaxi goes driverless as Musk confirms Safety Monitor removal testing
CEO Elon Musk has been hoping to remove Safety Monitors from Robotaxis in Austin for several months, first mentioning the plan to have them out by the end of 2025 in September. He confirmed on Sunday that Tesla had officially removed vehicle occupants and started testing truly unsupervised rides.
Although Safety Monitors in Austin have been sitting in the passenger’s seat, they have still had the ability to override things in case of an emergency. After all, the ultimate goal was safety and avoiding any accidents or injuries.
Goldman Sachs reiterated its ‘Neutral’ rating and its $400 price target. Delaney said, “Tesla is making progress with its autonomous technology,” and recent developments make it evident that this is true.
Investor's Corner
Tesla gets bold Robotaxi prediction from Wall Street firm
Last week, Andrew Percoco took over Tesla analysis for Morgan Stanley from Adam Jonas, who covered the stock for years. Percoco seems to be less optimistic and bullish on Tesla shares, while still being fair and balanced in his analysis.
Tesla (NASDAQ: TSLA) received a bold Robotaxi prediction from Morgan Stanley, which anticipates a dramatic increase in the size of the company’s autonomous ride-hailing suite in the coming years.
Last week, Andrew Percoco took over Tesla analysis for Morgan Stanley from Adam Jonas, who covered the stock for years. Percoco seems to be less optimistic and bullish on Tesla shares, while still being fair and balanced in his analysis.
Percoco dug into the Robotaxi fleet and its expansion in the coming years in his latest note, released on Tuesday. The firm expects Tesla to increase the Robotaxi fleet size to 1,000 vehicles in 2026. However, that’s small-scale compared to what they expect from Tesla in a decade.
Tesla expands Robotaxi app access once again, this time on a global scale
By 2035, Morgan Stanley believes there will be one million Robotaxis on the road across multiple cities, a major jump and a considerable fleet size. We assume this means the fleet of vehicles Tesla will operate internally, and not including passenger-owned vehicles that could be added through software updates.
He also listed three specific catalysts that investors should pay attention to, as these will represent the company being on track to achieve its Robotaxi dreams:
- Opening Robotaxi to the public without a Safety Monitor. Timing is unclear, but it appears that Tesla is getting closer by the day.
- Improvement in safety metrics without the Safety Monitor. Tesla’s ability to improve its safety metrics as it scales miles driven without the Safety Monitor is imperative as it looks to scale in new states and cities in 2026.
- Cybercab start of production, targeted for April 2026. Tesla’s Cybercab is a purpose-built vehicle (no steering wheel or pedals, only two seats) that is expected to be produced through its state-of-the-art unboxed manufacturing process, offering further cost reductions and thus accelerating adoption over time.
Robotaxi stands to be one of Tesla’s most significant revenue contributors, especially as the company plans to continue expanding its ride-hailing service across the world in the coming years.
Its current deployment strategy is controlled and conservative to avoid any drastic and potentially program-ruining incidents.
So far, the program, which is active in Austin and the California Bay Area, has been widely successful.
Tesla stock closes at all-time high on heels of Robotaxi progress
Tesla needs to come through on this one Robotaxi metric, analyst says
