Investor's Corner
Tesla (TSLA) gets optimistic outlook from Wall St ahead of Q3 2018 earnings report
Tesla shares (NASDAQ:TSLA) are holding their gains as the company heads towards its third-quarter earnings call. Following a 12.72% rise on Tuesday amidst the company’s earlier-than-expected earnings announcement and a vocal short-seller’s change of heart, Tesla stock was up 2.51% on Wednesday’s opening bell, breaching the $300 barrier and trading at $301.52 per share.
With the electric car maker invoking a sense of confidence with its upcoming earnings call, several Wall Street analysts have adopted an optimistic outlook on the company. JMP Securities analyst Joseph Osha, for one, gave Tesla an “Outperform” rating and a $350 price target, citing the accumulated “expertise” that the company has exhibited in electric vehicle development and manufacturing.
Baird analyst Ben Kallo has also given Tesla an “Outperform” rating, stating that the company’s positive cash flow could prove sufficient to drive TSLA shares higher. With regards to the upcoming earnings call, Kallo noted that management might provide additional details on how the company intends to increase its production capabilities over the next few quarters.
New Street Research’s Pierre Ferragu has given TSLA stock a “Buy” rating, stating that he expects major free cash flow beat in the third quarter, and continued positive free cash flow in Q4 and beyond. Ferragu noted that Tesla might still raise equity down the line to strengthen its balance sheet, but the company would likely do it only in good market conditions and at the right price.

James Albertine of Consumer Edge further noted that Tesla’s fundamentals had seen a notable improvement in the third quarter, thanks to the ramp of higher-margin Model 3 that sold for around $50,000 to $55,000. The Wall Street analyst has an “Equalweight” rating on Tesla ahead of the company’s Q3 2018 earnings call.
Even Brian Johnson of Barclays, who has an “Underweight” rating on TSLA stock, notes that a sharp increase in Tesla’s deliveries and production have set up a “bear trap.” Johnson further stated that Tesla could have boosted its cash balance by about $800 million in the quarter, bringing the company’s balance to around $3.5 billion.
Tesla shares have exhibited an immense amount of volatility in the past couple of months, partly due to the actions of Elon Musk. During August, for example, Musk posted a tweet stating that he was considering taking Tesla private at $420 per share, and that he had “funding secured.” The fallout of Musk’s “funding secured” tweet included an eventual lawsuit from the Securities and Exchange Commission, who alleged that the CEO misled investors with his Twitter announcement. Musk and the SEC would later reach a settlement, but the damage to Tesla stock would be notable.

Despite the noise surrounding the company and its CEO, though, the fundamentals of Tesla have been exhibiting signs of improvement. When the company released its vehicle production and deliveries report, for one, Tesla revealed that in the third quarter, it had manufactured a total of 80,142 electric cars including 53,239 Model 3, and delivered a total of 83,500 vehicles, comprised of 55,840 Model 3, 14,470 Model S, and 13,190 Model X. VIN registrations for the Model 3 seem to be picking up this October, and a new variant of the electric sedan, the Mid Range Model 3 RWD, was unveiled earlier this month as well.
Overall, this upcoming Q3 2018 earnings call could be historic for the electric car maker. With Tesla out of “production hell,” the company might be on the cusp of entering an era where it is making money. In Elon Musk’s words earlier this year, it’s high time that Tesla starts showing some profit for all its hard work.
Tesla’s Q3 Update letter would be posted on Tesla’s Investor Relations website after markets close today. Tesla would start its Q3 earnings call at 3:30 pm Pacific Time (6:30 pm Eastern Time).
As of writing, Tesla shares are trading -1.02% at $291.14 per share.
Disclosure: I have no ownership in shares of TSLA and have no plans to initiate any positions within 72 hours.
Investor's Corner
Tesla Optimus Gen 3 shows off a cleaner, factory-ready design in new app discovery
Renders hidden inside Tesla’s Android app show Optimus Gen 3’s design before any official reveal.
Tesla may have accidentally given a first look at its newest Optimus Gen 3 humanoid robot when photos were found in the Tesla smartphone app.
Design files tucked inside a recent Android version of the Tesla app appear to show the third generation humanoid robot next to the older Gen 2.5 prototype. The assets were extracted from the app package by Tesla community member @wholemars, who posted the renders on X late Tuesday night before deleting them. The Tesla Newswire reshared the side by side comparison on Wednesday, and the images have circulated widely since.

Tesla Optimus Gen 2.5 vs Gen 3 comparison via @WholeMars on X
The files are labeled “gen3” and were built as models for Tesla app’s own interface, as validated directly by Grok to be official.
The comparison shows a robot that looks built for a factory line rather than a lab bench. Gen 2.5’s exposed mechanical linkages and gold plating on the knees and shins are gone. In their place, Gen 3 uses matte black fairings on the lower legs, paired with a more contoured champagne gold body. Flexible covers now seal the joint where the torso meets the upper thighs, keeping bearings and moving parts sealed from debris and unnecessary contact.
The body panels fit more tightly, and the hands, which Tesla has said carry 22 degrees of freedom, look far more refined than those on earlier units.
This most recent leak fills a gap Tesla has left open for most of the year. Elon Musk said on March 31 that Optimus 3 was walking around but needed “some finishing touches” before it could be shown, a delay Teslarati covered when Tesla missed its first quarter reveal target. Musk later said Tesla would hold the design back until closer to production, partly to keep competitors from copying it. No reveal date has been announced.
The app itself has been preparing for Optimus for months. In July, code in the Tesla app pointed to a dedicated robot phone key, a consent screen for collecting video and spatial data while Optimus works inside a home, and an alert system for low battery and mechanical faults. Finished 3D models of Gen 3 suggest the interface owners will eventually use is moving past placeholder code toward something Tesla intends to ship.
Manufacturing is moving in parallel. Tesla tore out the original Model S and Model X lines at Fremont this summer to make room for Optimus production, with a planned capacity of one million robots a year. At Giga Texas, the steel frame of a dedicated Optimus factory is nearing completion ahead of a targeted 2027 start, with Musk pointing to an eventual output of 10 million units annually.
Elon Musk
X changed how everyone gets paid, and this lawsuit shows why
X sued a Bitcoin account network over fake payouts as its creator pay model shifts
Elon Musk’s X has taken a Bitcoin-focused engagement ring to court, and the case doubles as a receipt for how differently the platform pays creators today. The company filed suit in the High Court of England and Wales against Vivek Kumar Sen and Zamyang Sherpa, alleging the pair ran six accounts, including @Vivek4real_, @Bitcoin_Teddy and @TrendingBitcoin, as one coordinated operation to fake the kind of engagement that used to translate directly into money.
According to the filing, first reported by Gizmodo, the accounts posted near identical “BREAKING” crypto headlines seconds apart, in one case 11 seconds, then had three more handles like, reply to and repost the material to manufacture what X called “a false appearance of genuine, human communication and interaction.” X says the scheme pulled in at least £207,384, about $278,000, and pegs its own investigation and remediation costs at another £75,000. The accounts were suspended August 18. X general counsel James Burnham announced the case on X last weekend, writing that the company “will act forcefully to protect our platform and the earnings of genuine creators.” Musk’s own reaction, posted shortly after, was three words: “Don’t mess with 𝕏.”
Don’t mess with 𝕏 https://t.co/HSmd5hL6aQ
— Elon Musk (@elonmusk) September 21, 2026
The timing lines up with a a recent update to how X pays its creators. The program these accounts allegedly gamed, Creator Revenue Sharing, launched in mid 2023 and paid out based on how much a post got engaged with. Originality was never part of the formula, which is exactly how the platform ended up flooded with recycled clips, copy pasted “BREAKING” posts and replies engineered purely to farm reactions from paying subscribers.
X tried patching the model more than once, including an April cut to aggregator payouts and a March regional weighting change that Musk personally paused hours after it was announced. X retired Creator Revenue Sharing for good on September 7 and opened its replacement, Original Content Rewards, the next day.
Today, we’re launching Original Content Rewards.
The reality is that Revenue Sharing had reached a point where its incentives were misaligned. Creators should be focused on bringing net new content to the platform instead of maximizing payouts. We could have kept adding more… pic.twitter.com/VJIxqlPrjm
— Allegra Jacchia (@allegrajacchia) August 7, 2026
The new math is stricter. Payouts now come only from qualified impressions, meaning unique Home Timeline views from Premium subscribers where at least half the post is visible, and replies no longer count toward eligibility at all. Copied posts, reuploaded media and reposts without meaningful changes are explicitly excluded. Allegra Jacchia, senior product manager for Creators at SpaceXAI, which now runs X’s product and AI work following xAI’s acquisition of the platform, put it bluntly, saying the goal is to reward creators who bring original ideas and perspective, “not those who have become best at gaming the system.”
Read that way, the lawsuit isn’t really about six crypto accounts. It’s X putting a dollar figure on what the old incentive structure cost, then suing to collect it right as the new one goes live. For live updates on how the case and the new rewards program shake out, follow @Teslarati on X.
Elon Musk
Why automakers keep turning down Elon Musk’s Tesla Full Self-Driving offer
Elon Musk confirms no automaker has ever accepted Tesla’s offer to license Full Self-Driving software.
Elon Musk gave a brief answer on X Monday that confirmed that Tesla’s standing offer to license Full Self-Driving to other automakers still has zero takers. Sawyer Merritt wrote that “Tesla has for years openly invited other automakers to license FSD. None of them have accepted,” responding to a prediction from Boom Supersonic founder Blake Scholl that Tesla would eventually open FSD the way it opened its Supercharger network to rival brands. Musk’s reply to Merritt was one word: “Exactly.”
It is not the first time Musk has made this point. He said something similar in November, when he called legacy automakers reluctance to adopt FSD “crazy,” and Tesla has floated the offer publicly since at least 2021. Scholl’s prediction touches on something real. Once NACS became the de facto charging standard, adoption from Ford, GM, Rivian and others followed within about a year. FSD licensing was supposed to work the same way once Tesla built enough of a lead that switching made sense for everyone.
Tesla has for years openly invited other automakers to license FSD. None of them have accepted. https://t.co/kgz4idpoUM
— Sawyer Merritt (@SawyerMerritt) September 22, 2026
The case for licensing now is stronger than it was two years ago. Waymo and Zoox are logging hundreds of thousands of unsupervised autonomous miles, along with Tesla’s own Robotaxi fleet. Every automaker still selling driver assist systems that lag FSD has given the robotaxi conversation to Tesla, Waymo and Zoox by default. Licensing FSD would let a GM or a Ford compete on the same field without spending a decade and billions of dollars building a stack from scratch, the same argument Tesla made when it opened the Supercharger network to bring more EVs onto its chargers.
But FSD is not a connector standard. As one reply to Musk’s post pointed out, licensing FSD is not a software license the way NACS was a plug spec. It requires adopting Tesla’s eight camera layout and its onboard compute architecture, meaning a licensee’s cars would effectively become Tesla hardware wearing someone else’s badge. That is the visible obstacle. The less visible one is data. A licensed FSD stack would report back the same telemetry Tesla collects from its own fleet, giving Tesla a continuous read on how a competitor’s cars are actually driven, where they struggle, and how often drivers intervene. For an automaker trying to build its own autonomy program, or simply trying to keep its build quality and safety record private, handing Tesla that visibility could be a bigger cost than the hardware bill. It is the reason the Supercharger comparison only goes so far. Opening a charging plug cost Tesla very little. Opening FSD would cost a rival something it cannot get back.