Tesla stock’s Robotaxi plans advance, Guggenheim maintains Sell rating

Published 12/08/2025, 12:06
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Investing.com - Guggenheim maintained its Sell rating and $175.00 price target on Tesla (NASDAQ:TSLA) despite the company’s advancing Robotaxi plans. According to InvestingPro data, Tesla currently trades at a P/E ratio of 187, significantly above industry averages, while maintaining profitability with $5.88 billion in net income over the last twelve months.

Tesla CEO Elon Musk announced on social media platform X that the company’s Robotaxi service in Austin will open to the public next month, earlier than many investors had anticipated.

Musk also confirmed the upcoming Full Self-Driving (FSD) software would be version 14, featuring 10 times more parameters than previous versions, potentially improving the system’s capabilities.

Guggenheim noted the expanded FSD model has positive implications for investors focused on Tesla’s fleet eventually becoming Robotaxis, and opening the Austin service to the public represents a key step in exposing the technology to potentially more critical consumers. InvestingPro analysis shows Tesla maintains a FAIR financial health score, with 16 additional key insights available to subscribers.

The firm acknowledged that while safety drivers will remain in the vehicles with no timeline provided for their removal, investors bullish on Tesla have historically been willing to overlook this limitation. For deeper analysis and comprehensive valuation metrics, access Tesla’s detailed Pro Research Report, available exclusively on InvestingPro.

In other recent news, Tesla’s sales in Germany experienced a significant decline, dropping over 55% in July compared to the same month last year, as reported by the German road traffic agency KBA. This decline has been part of a broader trend for Tesla in Germany, with total sales for the January to July period falling 57.8% compared to the same period in 2024. Despite these challenges, Morgan Stanley (NYSE:MS) has reiterated an Overweight rating on Tesla, maintaining a price target of $410.00, emphasizing the economic potential of robotics and autonomous technology. The investment bank highlighted the economic advantages of humanoid robots, suggesting that their integration could drive significant technological advancement. Meanwhile, retail investors have shown renewed interest in Tesla, with data from Charles Schwab (NYSE:SCHW) indicating a shift towards buying the stock in July. This comes amid a broader trend of increased global electric vehicle sales, which surged 24% in June 2025, with China leading the growth. Additionally, Beijing has announced comprehensive policies to support humanoid robot production, aiming for an annual production capacity of 10,000 units by 2027. These developments reflect ongoing shifts and opportunities in the automotive and robotics sectors.

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