Investor's Corner
Tesla Giga Berlin impresses both Jefferies and UBS after factory visit
Tesla Gigafactory Berlin is only getting started, but it is already impressive for a number of financial companies. After a visit to Giga Berlin, teams from Jefferies and UBS shared some of their observations about the Germany-based plant, and they were pretty positive.
Jefferies analyst Philippe Houchois, for example, maintained a “Buy” rating and adjusted his price target for TSLA stock to $350 per share. The analyst was optimistic following investor meetings and a visit to Gigafactory Berlin, noting that Tesla is leading a transformation in the industry.
“A day of investor meetings and a visit to Berlin’s new plant keep us convinced Tesla is leading industry transformation with a business model driven by resource efficiency,” the analyst commented.
UBS was also optimistic about Tesla, which reportedly highlighted that Giga Berlin could become the most profitable gigafactory with COGS that are closer to Giga Shanghai’s levels. The firm also noted that it expects auto gross margin to exceed 30%.
“Tesla highlighted that Berlin could become the most profitable gigafactory as COGS will get close to shanghai levels (ie, much better than Fremont) while European product mix will be the highest in the world, much higher than China. We agree with this assessment, which is why we expect auto gross margin to exceed 30% from H2/22 onwards,” UBS noted.
Particularly interesting were UBS’ observations that a number of Giga Berlin’s sections are ready for a production rate of 10,000 vehicles per week. The firm also noted that by the end of the year, Tesla plans to fully use Giga Presses for the Model Y’s front-end underbody, which would be a step towards the company’s Germany-made vehicles also using a 4680 structural battery pack.
“We were the first broker to get a Giga Berlin tour together with key clients. We saw a very busy factory floor obviously making good progress towards the 5,000 car/week target run-rate by year-end. Parts of the plant are even ready for 1Ok vehicles/week. With a sequence time of 45 seconds by car and 10 hours from the body shop to final assembly, Tesla believes it is more than twice as fast as VW’s MEB plant.
“The key process innovation is Gigacasting, which replaces an army of welding robots for a single rear-end underbody part. By year-end, Tesla plans to do the front-end underbody also as a single die-cast piece with a total of 8 Giga Presses, enabling the use of a 4680 structural battery. Tesla expects to have in-house 4680 cell supply up and running by then next door,” UBS noted.
The observations of Jefferies and UBS were undoubtedly bullish for the electric vehicle maker. In a way, it appears that Tesla is currently putting some effort into showcasing its Germany-based factory to several financial firms. Tesla Head of Investor Relations Martin Viecha, for example, also noted on Twitter that he had taken Pierre Farragu of New Street Research around Giga Berlin.
In a tweet, Viecha lightly noted that Ferragu had driven a Tesla Germany-made Model Y Performance in Giga Berlin, which the analyst later observed was “built like a German premium car.” This is quite a lot of praise for Tesla, as its vehicles have been scrutinized over the years for every single imperfection, from paint quality to panel alignment.
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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.
Investor's Corner
Tesla wins $508 price target from Stifel as Robotaxi rollout gains speed
The firm cited meaningful progress in Tesla’s robotaxi roadmap, ongoing Full Self-Driving enhancements, and the company’s long-term growth initiatives.
Tesla received another round of bullish analyst updates this week, led by Stifel, raising its price target to $508 from $483 while reaffirming a “Buy” rating. The firm cited meaningful progress in Tesla’s robotaxi roadmap, ongoing Full Self-Driving enhancements, and the company’s long-term growth initiatives.
Robotaxi rollout, FSD updates, and new affordable cars
Stifel expects Tesla’s robotaxi fleet to expand into 8–10 major metropolitan areas by the end of 2025, including Austin, where early deployments without safety drivers are targeted before year-end. Additional markets under evaluation include Nevada, Florida, and Arizona, as noted in an Investing.com report. The firm also highlighted strong early performance for FSD Version 14, with upcoming releases adding new “reasoning capabilities” designed to improve complex decision-making using full 360-degree vision.
Tesla has also taken steps to offset the loss of U.S. EV tax credits by launching the Model Y Standard and Model 3 Standard at $39,990 and $36,990, Stifel noted. Both vehicles deliver more than 300 miles of range and are positioned to sustain demand despite shifting incentives. Stifel raised its EBITDA forecasts to $14.9 billion for 2025 and $19.5 billion for 2026, assigning partial valuation weightings to Tesla’s FSD, robotaxi, and Optimus initiatives.
TD Cowen also places an optimistic price target
TD Cowen reiterated its Buy rating with a $509 price target after a research tour of Giga Texas, citing production scale and operational execution as key strengths. The firm posted its optimistic price target following a recent Mobility Bus tour in Austin. The tour included a visit to Giga Texas, which offered fresh insights into the company’s operations and prospects.
Additional analyst movements include Truist Securities maintaining its Hold rating following shareholder approval of Elon Musk’s compensation plan, viewing the vote as reducing leadership uncertainty.
@teslarati Tesla Full Self-Driving yields for pedestrians while human drivers do not…the future is here! #tesla #teslafsd #fullselfdriving ♬ 2 Little 2 Late – Levi & Mario
Investor's Corner
Tesla receives major institutional boost with Nomura’s rising stake
The move makes Tesla Nomura’s 10th-largest holding at about 1% of its entire portfolio.
Tesla (NASDAQ:TSLA) has gained fresh institutional support, with Nomura Asset Management expanding its position in the automaker.
Nomura boosted its Tesla holdings by 4.2%, adding 47,674 shares and bringing its total position to more than 1.17 million shares valued at roughly $373.6 million. The move makes Tesla Nomura’s 10th-largest holding at about 1% of its entire portfolio.
Institutional investors and TSLA
Nomura’s filing was released alongside several other fund updates. Brighton Jones LLC boosted its holdings by 11.8%, as noted in a MarketBeat report, and Revolve Wealth Partners lifted its TSLA position by 21.2%. Bison Wealth increased its Tesla stake by 52.2%, AMG National Trust Bank increased its position in shares of Tesla by 11.8%, and FAS Wealth Partners increased its TSLA holdings by 22.1%. About 66% of all outstanding Tesla shares are now owned by institutional investors.
The buying comes shortly after Tesla reported better-than-expected quarterly earnings, posting $0.50 per share compared with the $0.48 consensus. Revenue reached $28.10 billion, topping Wall Street’s $24.98 billion estimate. Despite the earnings beat, Tesla continues to trade at a steep premium relative to peers, with a market cap hovering around $1.34 trillion and a price-to-earnings ratio near 270.
Recent insider sales
Some Tesla insiders have sold stock as of late. CFO Vaibhav Taneja sold 2,606 shares in early September for just over $918,000, reducing his personal stake by about 21%. Director James R. Murdoch executed a far larger sale, offloading 120,000 shares for roughly $42 million and trimming his holdings by nearly 15%. Over the past three months, Tesla insiders have collectively sold 202,606 shares valued at approximately $75.6 million, as per SEC disclosures.
Tesla is currently entering its next phase of growth, and if it is successful, it could very well become the world’s most valuable company as a result. The company has several high-profile projects expected to be rolled out in the coming years, including Optimus, the humanoid robot, and the Cybercab, an autonomous two-seater with the potential to change the face of roads across the globe.
@teslarati Tesla Full Self-Driving yields for pedestrians while human drivers do not…the future is here! #tesla #teslafsd #fullselfdriving ♬ 2 Little 2 Late – Levi & Mario
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