Tesla has announced that it is starting the rollout of Track Mode, a feature of the Model 3 Performance that allows the car to perform better on a racecourse, today. In light of the feature’s release, Tesla has published a blog post outlining the science behind Track Mode, as well as the feature’s specifics.
While Tesla’s other performance-oriented upgrades like Ludicrous Mode for the Model S and X help a vehicle with straight-line acceleration, Track Mode helps the company’s electric cars handle corners better. Tesla’s blog post notes that Track Mode was designed specifically to be used on closed autocross circuits and racetracks. The company also pointed out that its goal behind the development of Track Mode was simple — they wanted to use the power of the vehicle’s electric motor and instant torque to “make cornering on the track feel just as natural as forward acceleration.”
Track Mode enables vehicles to precisely control whether torque goes to the front or the rear wheels. This allows the Model 3 Performance to instantly increase or decrease the car’s rotation in a corner. With such a system in place, racing enthusiasts would find that highly technical driving sessions on a closed circuit would be a lot easier.
Track Mode starts rolling out today
— Tesla (@Tesla) November 8, 2018
Unlike the usual Sport Modes of legacy carmakers, which usually involve the disabling of stability control, the Model 3 Performance’s Track Mode adds features to the vehicle. Tesla accomplished this by replacing the electric car’s stability control system with its own Vehicle Dynamics Controller — a software specifically developed for the company’s electric vehicles that acts as both a stability control system and a performance enhancement on the track. Tesla also provided a summary of the features that are employed by Track Mode when it is activated.
Motor Torque for Rotation
Our Vehicle Dynamics Controller continually monitors the state of the vehicle and all of the inputs from the driver to determine the driver’s intention and affect the rotation of the car in a matter of milliseconds. Track Mode relies heavily on the front and rear motors to control the car’s rotation, and we have the ability to command a 100% torque bias. When cornering, if rotation is insufficient to the driver’s request, the system controls a rear biased torque. Conversely, when rotation is excessive, we command a front biased torque.
Increased Regenerative Braking
Heavy regenerative braking may not be comfortable for day-to-day driving, but on a track, it has several key advantages. It gives the driver more authority with a single pedal, improves the endurance of the braking system, and sends more energy back into the battery, maximizing the battery’s ability to deliver large amounts of power. It also gives the Vehicle Dynamics Controller more authority to create or arrest rotation with the motors when your foot is lifted off of the accelerator pedal.
Track Focused Powertrain Cooling
The high output power required for track driving generates a lot of heat, so endurance on the track requires more aggressive cooling of the powertrain. We proactively drop the temperatures of the battery and the drive units in preparation for the track and continue to cool them down in between drive sessions. We can also allow operation of the powertrain beyond typical thermal limits and increase our refrigerant system capacity by overclocking the AC compressor into higher speed ranges.
Enhanced Cornering Power
We typically think of using brakes to slow down a car, but you can actually use them to make the car faster out of a corner. All Model 3s are equipped with open differentials, which send an equal amount of torque from the motors to both the left and right wheels. When cornering, the wheels on the inside of the corner have less load on them, which means they can provide less tractive force than the outside wheels. To prevent excess slip on this inside tire, we have to limit the torque for both wheels, leaving power on the table. In Track Mode, we simultaneously apply brake and motor torque to produce a net increase in tractive force while cornering. This is similar to how a limited slip differential works, except when using the brakes, the differential can be optimized for various driving conditions.
What is particularly exciting about the release of Track Mode is the fact that it is just the first version of the system. On its blog post, Tesla noted that Track Mode is set to improve further in the future through over-the-air updates.
When Elon Musk announced the Model 3 Performance on Twitter, he noted that the vehicle would be around 15% faster than a BMW M3 on the track. Considering the pedigree of the German-made performance sedan as well as the tendency of Tesla’s previous vehicles to throttle their performance on a track, Musk’s claims were met with a notable degree of skepticism from both avid car enthusiasts and critics alike. That said, initial reviews of the feature were notably positive.
Tesla conquered the drag strip with Ludicrous Mode. It remains to be seen if the company can do the same on the closed circuit with Track Mode. Considering the deliberate design of the feature, though, there is a pretty good chance that the Model 3 Performance would soon be just as formidable on the track as the Model S P100D is on the drag strip.
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
SpaceX stock gets a slew of price target boosts after bullish earnings call
SpaceX reveals how its 1 Million AI satellite network will work and prevent space collisions
Tesla Roadster: Three configs, one can fly, 0-60 in 0.8 seconds
