Investor's Corner
Tesla CEO Elon Musk commits to support of NYC in coronavirus relief efforts
New York City Mayor Bill de Blasio extended words of gratitude toward CEO Elon Musk on Friday, in response to Tesla’s commitment to donate ventilators to New York, which has become the epicenter of coronavirus cases in the US.
“You’re most welcome. Credit to the Tesla team. Will do our best to help in any way,” said Musk, in reply to de Blasio’s outreach.
Musk added that the most effective way to fight the shortage of ventilators is to recognize the exact locations of where they are needed and get them to those hospitals in an efficient fashion. “Biggest value Tesla is providing is the precise delivery of ventilators exactly to the ICU where & when they’re needed. There are many ventilators in warehouses, but stuck in logistics/routing/paperwork issues,” Musk stated.
You’re most welcome. Credit to the Tesla team. Will do our best to help in any way.
— Elon Musk (@elonmusk) March 27, 2020
-->A follower of Musk on Twitter then asked if Tesla would begin charging hospitals or medical facilities for ventilators that they either buy or manufacture themselves.
Musk clarified that he or his company would accept any compensation for the machines that will help save lives. “We will give away all our ventilators, whether we buy them or build them,” the Tesla CEO said.
The donation of ventilators from Musk to the city came in response to de Blasio’s request for help on March 19. On that day, Musk tweeted that Tesla would be willing to manufacture ventilators if there was a shortage. The tweet incited a response from de Blasio, who stated, “New York City is buying!”
We will give away all our ventilators, whether we buy them or build them
— Elon Musk (@elonmusk) March 27, 2020
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In the wake of the coronavirus pandemic, Musk has stated the best response is to remain calm and not panic. While Tesla’s facilities in Fremont, California, and Buffalo, New York remain closed for production, their doors are opening for the manufacturing of third party ventilator systems. Initially, Musk struck up a conversation with a team from Medtronics. This conversation eventually led to Tesla offering its Fremont plant as a manufacturing facility for the medical equipment company to increase its production of ventilators. CEO Omar Ishrak confirmed the partnership between Tesla and Medtronics on CNBC on Wednesday.
Musk’s efforts span outside of New York. Earlier this week, he delivered 1,200 ventilators to the city of Los Angeles free of charge. China had an excess of ventilators, so Musk took it upon himself to purchase them and deliver the systems to Los Angeles to assist with COVID-19 affected patients. Tesla’s effort to help with the ventilator shortage will more than likely help patients with severe respiratory problems get the help they need, especially with the massive deficit in machines compared to severe cases of the virus.
While Fremont remains partially opened for some workers to help with loading Tesla vehicles onto haulers for delivery, Giga New York remains closed, even though many New York officials are requesting the plant be reopened for ventilator production.
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Investor's Corner
Mizuho keeps Tesla (TSLA) “Outperform” rating but lowers price target
As per the Mizuho analyst, upcoming changes to EV incentives in the U.S. and China could affect Tesla’s unit growth more than previously expected.
Mizuho analyst Vijay Rakesh lowered Tesla’s (NASDAQ:TSLA) price target to $475 from $485, citing potential 2026 EV subsidy cuts in the U.S. and China that could pressure deliveries. The firm maintained its Outperform rating for the electric vehicle maker, however.
As per the Mizuho analyst, upcoming changes to EV incentives in the U.S. and China could affect Tesla’s unit growth more than previously expected. The U.S. accounted for roughly 37% of Tesla’s third-quarter 2025 sales, while China represented about 34%, making both markets highly sensitive to policy shifts. Potential 50% cuts to Chinese subsidies and reduced U.S. incentives affected the firm’s outlook.
With those pressures factored in, the firm now expects Tesla to deliver 1.75 million vehicles in 2026 and 2 million in 2027, slightly below consensus estimates of 1.82 million and 2.15 million, respectively. The analyst was cautiously optimistic, as near-term pressure from subsidies is there, but the company’s long-term tech roadmap remains very compelling.
Despite the revised target, Mizuho remained optimistic on Tesla’s long-term technology roadmap. The firm highlighted three major growth drivers into 2027: the broader adoption of Full Self-Driving V14, the expansion of Tesla’s Robotaxi service, and the commercialization of Optimus, the company’s humanoid robot.
“We are lowering TSLA Ests/PT to $475 with Potential BEV headwinds in 2026E. We believe into 2026E, US (~37% of TSLA 3Q25 sales) EV subsidy cuts and China (34% of TSLA 3Q25 sales) potential 50% EV subsidy cuts could be a headwind to EV deliveries.
-->“We are now estimating TSLA deliveries for 2026/27E at 1.75M/2.00M (slightly below cons. 1.82M/2.15M). We see some LT drivers with FSD v14 adoption for autonomous, robotaxi launches, and humanoid robots into 2027 driving strength,” the analyst noted.
Tesla stock (NASDAQ: TSLA) has landed an elusive “must own” status from Wall Street firm Melius, according to a new note released early this week.
Analyst Rob Wertheimer said Tesla will lead the charge in world-changing tech, given the company’s focus on self-driving, autonomy, and Robotaxi. In a note to investors, Wertheimer said “the world is about to change, dramatically,” because of the advent of self-driving cars.
He looks at the industry and sees many potential players, but the firm says there will only be one true winner:
“Our point is not that Tesla is at risk, it’s that everybody else is.”
The major argument is that autonomy is nearing a tipping point where years of chipping away at the software and data needed to develop a sound, safe, and effective form of autonomous driving technology turn into an avalanche of progress.
Wertheimer believes autonomy is a $7 trillion sector,” and in the coming years, investors will see “hundreds of billions in value shift to Tesla.”
A lot of the major growth has to do with the all-too-common “butts in seats” strategy, as Wertheimer believes that only a fraction of people in the United States have ridden in a self-driving car. In Tesla’s regard, only “tens of thousands” have tried Tesla’s latest Full Self-Driving (Supervised) version, which is v14.
Tesla Full Self-Driving v14.2 – Full Review, the Good and the Bad
When it reaches a widespread rollout and more people are able to experience Tesla Full Self-Driving v14, he believes “it will shock most people.”
Citing things like Tesla’s massive data pool from its vehicles, as well as its shift to end-to-end neural nets in 2021 and 2022, as well as the upcoming AI5 chip, which will be put into a handful of vehicles next year, but will reach a wider rollout in 2027, Melius believes many investors are not aware of the pace of advancement in self-driving.
Tesla’s lead in its self-driving efforts is expanding, Wertheimer says. The company is making strategic choices on everything from hardware to software, manufacturing, and overall vehicle design. He says Tesla has left legacy automakers struggling to keep pace as they still rely on outdated architectures and fragmented supplier systems.
Tesla shares are up over 6 percent at 10:40 a.m. on the East Coast, trading at around $416.
Investor's Corner
Tesla analyst maintains $500 PT, says FSD drives better than humans now
The team also met with Tesla leaders for more than an hour to discuss autonomy, chip development, and upcoming deployment plans.
Tesla (NASDAQ:TSLA) received fresh support from Piper Sandler this week after analysts toured the Fremont Factory and tested the company’s latest Full Self-Driving software. The firm reaffirmed its $500 price target, stating that FSD V14 delivered a notably smooth robotaxi demonstration and may already perform at levels comparable to, if not better than, average human drivers.
The team also met with Tesla leaders for more than an hour to discuss autonomy, chip development, and upcoming deployment plans.
Analysts highlight autonomy progress
During more than 75 minutes of focused discussions, analysts reportedly focused on FSD v14’s updates. Piper Sandler’s team pointed to meaningful strides in perception, object handling, and overall ride smoothness during the robotaxi demo.
The visit also included discussions on updates to Tesla’s in-house chip initiatives, its Optimus program, and the growth of the company’s battery storage business. Analysts noted that Tesla continues refining cost structures and capital expenditure expectations, which are key elements in future margin recovery, as noted in a Yahoo Finance report.
Analyst Alexander Potter noted that “we think FSD is a truly impressive product that is (probably) already better at driving than the average American.” This conclusion was strengthened by what he described as a “flawless robotaxi ride to the hotel.”
-->Street targets diverge on TSLA
While Piper Sandler stands by its $500 target, it is not the highest estimate on the Street. Wedbush, for one, has a $600 per share price target for TSLA stock.
Other institutions have also weighed in on TSLA stock as of late. HSBC reiterated a Reduce rating with a $131 target, citing a gap between earnings fundamentals and the company’s market value. By contrast, TD Cowen maintained a Buy rating and a $509 target, pointing to strong autonomous driving demonstrations in Austin and the pace of software-driven improvements.
Stifel analysts also lifted their price target for Tesla to $508 per share over the company’s ongoing robotaxi and FSD programs.
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