News
Tesla Stock Soars 16+% in 1 Day
Tesla’s Model S sedan is red hot.
By Silicon Valley standards, 10-year-old Tesla Motors is middle-aged. But in the world of automotive startups, it’s just crossed a threshold few fledgling companies ever get near: profitability. Late last night California time — in time to make it clear this was no April Fools joke — the company announced it has delivered 4750 cars in the first quarter and expected to report an accounting profit when it announces its official results next month. While the company’s vehicles lack engines, in the past 6 months, it’s begun to hit on all cylinders:
- Shipments of the Model S sedan begin late last year with 2400 delivered in the fourth quarter. The company nearly doubled that in the next 3 months.
- Tesla launched its high-speed “Supercharger” charging stations, which allow recharging half the battery pack in about 30 minutes. Last week, it announced plans to expand the network in the Pacific northwest, Texas, Illinois, and Florida, while improving coverage in the initial regions in the northeast and California.
- The company announced a plan to pay back its Department of Energy loan 5 years ahead of schedule, by the end of 2017. This $465 million loan, part of the Advanced Technology Vehicle Manufacturing Program, was essential to the launch of the Model S and came at a time when Tesla’s future was very much in doubt.
Today, though, that future looks bright enough that the naysayers holding more than 30 million shares short may be wishing they were betting against something else. CEO Elon Musk mentioned on Twitter last week that he had a big announcement to make regarding Tesla (due tomorrow) and clarified last night that this isn’t it: “Also, some may differ, but imo the Tues news is arguably more important,” he wrote. Depending on the nature of that, I may be back with another post.
There was some more interesting news in yesterday’s press release on profitability. The company canceled an option to buy the Model S with the smallest battery, a version that retailed for just around $52,000 after the federal tax credit. Why? Lack of demand. It seems only 4% of buyers were opting for that smallest configuration. They’ll still get it, but instead of producing a battery that small, Tesla will sell them a car with the mid-sized battery and disable part of the capacity in software. If owners — present or future — wish to upgrade to the larger capacity, Tesla will allow them to purchase some software magic to make it happen. The mid-sized battery offers a range of just over 200 miles per the EPA and the smallest battery has about 2/3 the capacity. Given there was a $10,000 gap between the two, it’s noteworthy that people were rejecting the smallest battery so clearly.
This points out the radically different approach Tesla is taking versus Nissan with the Leaf and really everyone else building electric vehicles right now. The two sizes of Tesla people are choosing are 200+ mile vehicle while the other brands are sold as 70-80 mile commuter vehicles. Apparently, a “tweener” that gets around 140 miles wasn’t something Tesla customers wanted and might not be appealing to much of anyone as it doesn’t really address the “go almost anywhere” problem Tesla is solving and doesn’t really do much for commuters. (More than 80% of commutes in the U.S. can be made roundtrip in a Leaf.)
In addition to eliminating the small battery, Tesla also decided to build access to the Supercharger network in every car. It was already standard with the largest battery and is still an option with the smaller one, but now you can decide to add the option after purchase because — again — it’s a software change. The Superchargers are free “fill-ups” along highway corridors, but those with the smaller battery will pay $2000 for the privilege. This software-upgradeable car might not be as much of a milestone as a 200+ mile EV is, but it has already become a hallmark of the way Tesla works and really shows how Silicon Valley DNA can be an important part of this 21st century automaker.
-->When the company announced its earnings last quarter, the news actually disappointed investors. On some level, that was odd because the quarter inherently represented a transition where production was ramping up and it would be hard to really get a sense of what the business looked like on a steady-state basis. This quarter, however, is going to provide a very real snapshot into Tesla as a business. Through the rest of 2013 and well into next year, the company is likely to look as it does this quarter, with small improvements in unit shipments and gross margin over each quarter until the company begins delivering its Model X crossover late in 2014. None of that is likely exciting to watch, but it is likely to be material financially.
If deliveries do creep into the range of 6000-7000 per quarter — which is expected — and the company hits its gross margin goal of 25% by year end, this quarter’s profit is going to be pretty small compared to the ones set to come. It’s this kind of steady profitable growth upon which you build a company that will be around for a long time to come. And with the focus on larger batteries and more Superchargers, Tesla seems to be saying its cars are going to run long and far as well.
Tesla is launching a crazy Full Self-Driving free trial, which will enable owners who have not purchased the suite outright to try it for 30 days.
There are a handful of stipulations that will be needed in order for you to qualify for the free trial, which was announced on Thursday night.
Tesla said the trial is for v14, the company’s latest version of the Full Self-Driving suite, and will be available to new and existing Model S, Model 3, Model X, Model Y, and Cybertruck owners, who will have the opportunity to try the latest features, including Speed Profiles, Arrival Options, and other new upgrades.
🚨 Tesla is launching a free 30-day trial of Full Self-Driving in North America for owners.
It includes every model, but you need v14.2 or later, and you cannot have already purchased the suite outright. https://t.co/8CNmxxOkVl
— TESLARATI (@Teslarati) November 27, 2025
You must own one of the five Tesla models, have Full Self-Driving v14.2 or later, and have an eligible vehicle in the United States, Puerto Rico, Mexico, or Canada.
The company said it is a non-transferable trial, which is not redeemable for cash. Tesla is reaching out to owners via email to give them the opportunity to enable the Full Self-Driving trial.
Those who are subscribed to the monthly Full Self-Driving program are eligible, so they will essentially get a free month of the suite.
Once it is installed, the trial will begin, and the 30-day countdown will begin.
-->Tesla is making a major push to increase its Full Self-Driving take rate, as it revealed that about 12 percent of owners are users of the program during its recent earnings call.
Tesla CFO Vaibhav Taneja said during the call:
“We feel that as people experience the supervised FSD at scale, demand for our vehicles, like Elon said, would increase significantly. On the FSD adoption front, we’ve continued to see decent progress. However, note that the total paid FSD customer base is still small, around 12% of our current fleet.”
Earlier today, we reported on Tesla also launching a small-scale advertising campaign on X for the Full Self-Driving suite, hoping to increase adoption.
Tesla Full Self-Driving warrants huge switch-up on essential company strategy
-->It appears most people are pretty content with the subscription program. It costs just $99 a month, in comparison to the $8,000 fee it is for the outright purchase.
Tesla Full Self-Driving has warranted a huge switch-up on an essential company strategy as the automaker is hoping to increase the take rate of the ADAS suite.
Unlike other automotive companies, Tesla has long been an outlier, as it has famously ditched a traditional advertising strategy in favor of organic buzz, natural word-of-mouth through its production innovation, and utilizing CEO Elon Musk’s huge social media presence to push its products.
Tesla has taken the money that it would normally spend on advertising and utilized it for R&D purposes. For a long time, it yielded great results, and ironically, Tesla saw benefits from other EV makers running ads.
Tesla counters jab at lack of advertising with perfect response
However, in recent years, Tesla has decided to adjust this strategy, showing a need to expand beyond its core enthusiast base, which is large, but does not span over millions and millions as it would need to fend off global EV competitors, which have become more well-rounded and a better threat to the company.
-->In 2024 and 2025, Tesla started utilizing ads to spread knowledge about its products. This is continuing, as Full Self-Driving ads are now being spotted on social media platforms, most notably, X, which is owned by Musk:
NEWS: Tesla is running paid advertisements on X about FSD (Supervised). Here’s an ad they started running yesterday: pic.twitter.com/IHVywLMyTd
— Sawyer Merritt (@SawyerMerritt) November 25, 2025
Interestingly, Tesla’s strategy on FSD advertising is present in Musk’s new compensation package, as the eleventh tranche describes a goal of achieving 10 million active paid FSD subscriptions.
Full Self-Driving is truly Tesla’s primary focus moving forward, although it could be argued that it also has a special type of dedication toward its Optimus robot project. However, FSD will ultimately become the basis for the Robotaxi, which will enable autonomous ride-sharing across the globe as it is permitted in more locations.
-->Tesla has been adjusting its advertising strategy over the past couple of years, and it seems it is focused on more ways to spread awareness about its products. It will be interesting to see if the company will expand its spending even further, as it has yet to put on a commercial during live television.
We wouldn’t put it out of the question, at least not yet.
Tesla was nice enough to hook us up with the new Model Y “Standard” trim for a few days, and while we’ll be sure to fill you in on the full experience in the coming days, there are a lot of differences we noticed right off the bat, which make the ownership experience different from the “Premium” configuration level.
I purchased a Model Y Long Range All-Wheel-Drive back in August and took delivery just two weeks later. Through the first three months of owning my car, I’ve come to love so many things about the Tesla experience.
I traded my ICE vehicle for a Tesla Model Y: here’s how it went
However, I was interested in experiencing the affordable trim and seeing whether I would miss any of the voided features of the “Premium” Model Y.
Through the first 24 hours, here are my first impressions of the Model Y Standard as a Premium trim level owner:
-->Overall Aesthetic
The lack of a light bar is not something that is a dealbreaker. In fact, I would argue that the Model Y Standard’s more traditional headlight design is just as pleasing from an aesthetic standpoint.
The car is great looking from top to bottom; there are not a substantial number of differences besides the lack of a lightbar on both the front and the back of the car.
Overall, it is a very sleek vehicle, but the major changes are obviously with the interior.
Interior Changes
This is where the big differences are, and some of the things I’ve gotten used to in the Premium are not included. If I didn’t have a Premium Model Y already, I’m not sure I’d miss some of the things that are not present in the Standard trim, but I believe I’d get annoyed with it.
First impressions:
✅ Interior is excellent. I definitely miss the additional storage already that is available in my Premium. I could definitely get over it though
✅ Noticeable step down in sound system. Long Time by Boston absolutely cranks in the Premium; it’s still very… https://t.co/JNWvxTd8p1
— TESLARATI (@Teslarati) November 25, 2025
Storage
The Premium has a large storage compartment between the cupholders and the wireless charger, which is not present in the Standard trim. Instead, it is more like the Cybertruck, as there is a pass-through and floor storage.
I think that the pass-through is nice, but the additional storage is something I take advantage of, especially as someone who films Full Self-Driving videos, which requires hauling mounts, GoPros, and other accessories.
-->The sleekness of the Premium trim is also something I prefer; I really enjoy having the ability to close those compartments and cover the cupholders.
Obviously, this is a really trivial issue and not something that is substantially impactful from an ownership experience. If I weren’t already an owner, I am not sure I’d even have something to complain about.
Material Differences
The Premium trim seats are completely Vegan Leather, which I really do like, even as someone who doesn’t really love leather seats due to their temperature dependency.
The Standard trim features a Textile and Vegan hybrid, which has half of the seat a different material than the other.
The material is very similar to what I had in my previous car, a Bronco Sport. It was very durable, easy to clean, dried quickly, and hid a lot of things that leather does not, like oils from your skin, which constantly require attention to keep your interior looking fresh.
-->The wireless charger is also a different material, as the Premium features an Alcantara material on that. The Standard has a rubberized and textured backing, which looks good, too. They’re both more than suitable.
Other Missing Features
The Standard lacks a few minor things, most noticeably is the ambient lighting. The biggest change, however, and something I really miss, is the glass roof.
A lot of people told me that when I got my Model Y, I wouldn’t even notice the glass roof after a few weeks. That could not be further from the truth. I look out of it all the time, and it’s one of my family’s favorite parts of the car.
My Fiancè and I really love parking and watching Netflix when we pick food up, especially when it’s raining, because the glass roof gives such a great view.
We also loved it as Fall arrived, because it was great to look at the foliage.
-->Buy the Tesla.
Enjoy the glass roof. pic.twitter.com/r2GDyOEEWu
— TESLARATI (@Teslarati) October 28, 2025
Bigger Differences
There are also a handful of very noticeable differences from the overall cabin experience, especially with the sound system.
Much Weaker Sound System
The Model Y Standard has just 7 speakers and 1 amp, with no subwoofer. This is a significant step down from the 13-15 speakers in the Premium Long Range AWD Model Y, the 2 amps it comes with, and 1 subwoofer in the trunk.
-->I usually like to listen to Long Time by Boston to test out a sound system, and it was noticeably weaker in the Standard. It was missing a big portion of the umph that is provided by the Premium’s sound system.
Cabin Noise
It feels like the Cabin Noise is definitely more noticeable in the Standard, which is something I really love about my Model Y. It is able to dampen so much road noise from louder cars, and I don’t feel as if it is very quiet in the Standard.
This is perhaps the biggest make-or-break for me with this car. I truly have been spoiled by how quiet the cabin is in the Premium, and it’s due to the lack of acoustic-lined glass in the Standard.
I will be doing a more in-depth review of the Model Y Standard, especially with ride quality, later this week.
-->
Tesla launches crazy Full Self-Driving free trial: here’s how you can get it
Tesla Full Self-Driving warrants huge switch-up on essential company strategy
