

Investor's Corner
Tesla’s market disruption may lead to healthy slice of global auto market: Mizuho
Tesla (NASDAQ: TSLA) is expected to control 10% of the global automotive market in the coming years, analysts from Tokyo-based Mizuho Bank said in a recent note to investors. Tesla’s disruption of the global automotive market through its high-tech and affordable electric vehicles could ultimately lead to the company producing 1-out-of-10 cars on the road in the coming years.
Over the past few years, the transition to electrification in passenger vehicles has accelerated greatly, mostly due to Tesla’s mainstream success as an automaker. The company’s influence on the global automotive market has been identified as disruptive and has caused OEMs like GM, Ford, and others to consider rolling out new electrified models, a plan that has culminated in some of the largest car companies in the world to change their long-term supply chain plans. Instead of focusing on purchasing combustion engines, these legacy automotive companies are opting for battery cells instead, making lofty but sufficient manufacturing goals that hint toward a future of fully electrified fleets.
Tesla has captured a considerable portion of the battery electric vehicle (BEV) market over the past four years, mostly due to its introduction of mass-market EVs that are affordable and land around the price point of an average new car in 2021, according to Kelley Blue Book. While Tesla has raised prices on many of its models over the past several months as the company, among others, combats a global shortage of semiconductors and other critical parts of an EV’s DNA, Tesla still holds the reputation for the most advanced electric vehicles on the market at the most competitive prices. For the performance, range, and software that owners receive with Teslas, there isn’t a much better bang for your buck.
Analysts at Mizuho Bank agree, according to a note that the firm sent to investors. While Mizuho analyst Vijay Rakesh identifies the growing global EV market and Tesla’s domination of it, he is aware of incoming competitors. Not signaling that Tesla will encounter tremendous disruption from competitors, new or old, Rakesh’s money would likely be on Tesla if this were a betting situation.
The analyst wrote (via Seeking Alpha):
“Total BEV penetration is at 7.4% in Europe and 6.8% in China, while the U.S. lags at 1.9%. The up and comers still face challenges with VW sales lagging, while GM appears to be getting traction from its ~ $4K HongGuang Mini EV in China.”
Tesla held around 24% of the global BEV market in Q1, mostly due to impressive sales figures of the Model 3 and Model Y combined with Tesla’s continuing trend of Quarter-over-Quarter growth. While this is impressive, the real disruption will occur when Tesla starts to take a substantial slice of the overall automotive market. Rakesh believes the company could achieve up to 10% of the global automotive market, taking more gas-powered engines off the road than many could imagine.
Mizuho is bullish on the idea that TSLA could gain further traction in the EV market by leaving behind legacy companies and newcomers to the BEV sector due to its overwhelming lead in battery tech and autonomous driving developments. The company’s considerable lead in both of these categories makes it a prime candidate to begin even more disruption of the global automotive market. Mizuho believes Tesla could achieve at least 10% of the total market share in the coming years.
Rakesh is ranked 93 out of 7,551 analysts on TipRanks and holds a five-star rating with an average return of 26.3% and a success rate of 69%. He holds Tesla with an $820.00 price target and a “Buy” rating for the stock.
Disclosure: Joey Klender is a TSLA Shareholder.
Investor's Corner
Tesla could save $2.5B by replacing 10% of staff with Optimus: Morgan Stanley
Jonas assigned each robot a net present value (NPV) of $200,000.

Tesla’s (NASDAQ:TSLA) near-term outlook may be clouded by political controversies and regulatory headwinds, but Morgan Stanley analyst Adam Jonas sees a glimmer of opportunity for the electric vehicle maker.
In a new note, the Morgan Stanley analyst estimated that Tesla could save $2.5 billion by replacing just 10% of its workforce with its Optimus robots, assigning each robot a net present value (NPV) of $200,000.
Morgan Stanley highlights Optimus’ savings potential
Jonas highlighted the potential savings on Tesla’s workforce of 125,665 employees in his note, suggesting that the utilization of Optimus robots could significantly reduce labor costs. The analyst’s note arrived shortly after Tesla reported Q2 2025 deliveries of 384,122 vehicles, which came close to Morgan Stanley’s estimate and slightly under the consensus of 385,086.
“Tesla has 125,665 employees worldwide (year-end 2024). On our calculations, a 10% substitution to humanoid at approximately ($200k NPV/humanoid) could be worth approximately $2.5bn,” Jonas wrote, as noted by Street Insider.
Jonas also issued some caution on Tesla Energy, whose battery storage deployments were flat year over year at 9.6 GWh. Morgan Stanley had expected Tesla Energy to post battery storage deployments of 14 GWh in the second quarter.
Musk’s political ambitions
The backdrop to Jonas’ note included Elon Musk’s involvement in U.S. politics. The Tesla CEO recently floated the idea of launching a new political party, following a poll on X that showed support for the idea. Though a widely circulated FEC filing was labeled false by Musk, the CEO does seem intent on establishing a third political party in the United States.
Jonas cautioned that Musk’s political efforts could divert attention and resources from Tesla’s core operations, adding near-term pressure on TSLA stock. “We believe investors should be prepared for further devotion of resources (financial, time/attention) in the direction of Mr. Musk’s political priorities which may add further near-term pressure to TSLA shares,” Jonas stated.
Investor's Corner
Two Tesla bulls share differing insights on Elon Musk, the Board, and politics
Two noted Tesla bulls have shared differing views on the recent activities of CEO Elon Musk and the company’s leadership.

Two noted Tesla (NASDAQ:TSLA) bulls have shared differing views on the recent activities of CEO Elon Musk and the company’s leadership.
While Wedbush analyst Dan Ives called on Tesla’s board to take concrete steps to ensure Musk remains focused on the EV maker, longtime Tesla supporter Cathie Wood of Ark Invest reaffirmed her confidence in the CEO and the company’s leadership.
Ives warns of distraction risk amid crucial growth phase
In a recent note, Ives stated that Tesla is at a critical point in its history, as the company is transitioning from an EV maker towards an entity that is more focused on autonomous driving and robotics. He then noted that the Board of Directors should “act now” and establish formal boundaries around Musk’s political activities, which could be a headwind on TSLA stock.
Ives laid out a three-point plan that he believes could ensure that the electric vehicle maker is led with proper leadership until the end of the decade. First off, the analyst noted that a new “incentive-driven pay package for Musk as CEO that increases his ownership of Tesla up to ~25% voting power” is necessary. He also stated that the Board should establish clear guidelines for how much time Musk must devote to Tesla operations in order to receive his compensation, and a dedicated oversight committee must be formed to monitor the CEO’s political activities.
Ives, however, highlighted that Tesla should move forward with Musk at its helm. “We urge the Board to act now and move the Tesla story forward with Musk as CEO,” he wrote, reiterating its Outperform rating on Tesla stock and $500 per share price target.
Tesla CEO Elon Musk has responded to Ives’ suggestions with a brief comment on X. “Shut up, Dan,” Musk wrote.
Cathie Wood reiterates trust in Musk and Tesla board
Meanwhile, Ark Investment Management founder Cathie Wood expressed little concern over Musk’s latest controversies. In an interview with Bloomberg Television, Wood said, “We do trust the board and the board’s instincts here and we stay out of politics.” She also noted that Ark has navigated Musk-related headlines since it first invested in Tesla.
Wood also pointed to Musk’s recent move to oversee Tesla’s sales operations in the U.S. and Europe as evidence of his renewed focus in the electric vehicle maker. “When he puts his mind on something, he usually gets the job done,” she said. “So I think he’s much less distracted now than he was, let’s say, in the White House 24/7,” she said.
TSLA stock is down roughly 25% year-to-date but has gained about 19% over the past 12 months, as noted in a StocksTwits report.
Investor's Corner
Cantor Fitzgerald maintains Tesla (TSLA) ‘Overweight’ rating amid Q2 2025 deliveries
Cantor Fitzgerald is holding firm on its bullish stance for the electric vehicle maker.

Cantor Fitzgerald is holding firm on its bullish stance for Tesla (NASDAQ: TSLA), reiterating its “Overweight” rating and $355 price target amidst the company’s release of its Q2 2025 vehicle delivery and production report.
Tesla delivered 384,122 vehicles in Q2 2025, falling below last year’s Q2 figure of 443,956 units. Despite softer demand in some countries in Europe and ongoing controversies surrounding CEO Elon Musk, the firm maintained its view that Tesla is a long-term growth story in the EV sector.
Tesla’s Q2 results
Among the 384,122 vehicles that Tesla delivered in the second quarter, 373,728 were Model 3 and Model Y. The remaining 10,394 units were attributed to the Model S, Model X, and Cybertruck. Production was largely flat year-over-year at 410,244 units.
In the energy division, Tesla deployed 9.6 GWh of energy storage in Q2, which was above last year’s 9.4 GWh. Overall, Tesla continues to hold a strong position with $95.7 billion in trailing twelve-month revenue and a 17.7% gross margin, as noted in a report from Investing.com.
Tesla’s stock is still volatile
Tesla’s market cap fell to $941 billion on Monday amid volatility that was likely caused in no small part by CEO Elon Musk’s political posts on X over the weekend. Musk has announced that he is forming the America Party to serve as a third option for voters in the United States, a decision that has earned the ire of U.S. President Donald Trump.
Despite Musk’s controversial nature, some analysts remain bullish on TSLA stock. Apart from Cantor Fitzgerald, Canaccord Genuity also reiterated its “Buy” rating on Tesla shares, with the firm highlighting the company’s positive Q2 vehicle deliveries, which exceeded its expectations by 24,000 units. Cannacord also noted that Tesla remains strong in several markets despite its year-over-year decline in deliveries.
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