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Investing.com -- Tesla’s latest full self-driving software is so advanced that it may already outperform human drivers, according to Piper Sandler analyst Alexander Potter, who reiterated an Overweight rating and a $500 price target on the stock after an investor meeting at the company’s Fremont facility.
Piper Sandler hosted investors at the California site, where participants test-drove the newest release of Tesla’s autonomous driving system.
Potter wrote that “we think FSD is a truly impressive product that is (probably) already better at driving than the average American,” a conclusion strengthened by what he described as “a flawless robo-taxi ride to the hotel.”
The firm encouraged investors who have not yet done so to experience FSD version 14 firsthand, arguing that the technology continues to exceed expectations.
Much of the 75-plus-minute Q&A with Tesla was said to have been focused on full self-driving progress and the company’s robo-taxi ambitions, Piper Sandler said.
But they also highlighted discussions on Tesla’s in-house chip development, the Optimus humanoid robot, and its growing stationary storage battery operations.
The meeting additionally touched on capital expenditure plans and margin considerations, though the note did not provide specific figures.
Piper Sandler said its financial model for Tesla had been updated for the company’s third-quarter results, which were released before the visit. However, Potter added that “beyond this minor update, we have left all other estimates unchanged.”