Although Tesla (NASDAQ: TSLA) CEO Elon Musk has postponed the unveiling event of his company’s robotaxis for October 10, citing important changes to the vehicles, the success of his goal of having a customer-owned fleet of around 7 million autonomous vehicles could affect the price of TSLA stock.
Indeed, Musk’s mission to build an “Airbnb on wheels,” available through the Tesla app, where users can hail a ride with the robotaxi, could help Tesla shares recover after the company’s second-quarter earnings call missed analysts’ expectations. As the Tesla’s leading man explained:
“You can think of that as being a bit like Airbnb; like you can choose to allow your car to be used by the fleet or cancel that and bring it back. It will be used by the fleet all the time, can be used by the fleet some of the time, and then Tesla will take a share in the revenue with the customer.”
Picks for you
Tesla stock price analysis
As it happens, the price of Tesla stock has dipped after the July 23 earnings call, dropping 12.09% on its monthly chart, although it has recovered 6.60% across the week, slowing down and declining 0.73% on the day but advancing 0.23% in pre-market, currently trading at $221.09, according to the latest data.
Specifically, TSLA shares have had mixed price performance this year, reaching the yearly high of $263.26 on July 10, the day that Musk announced the postponement of Tesla’s planned robotaxi unveiling, which started a decline toward a low $191.76 on August 7, but recovering since.
At the same time, the year’s high of $263.26 is still a far cry and a 35.79% loss since its all-time high (ATH) of $409.97 that Tesla stocks reached back on November 4, 2021, with TSLA stock price at press time representing an even further decline from the ATH – 46.07%.
Tesla stock price technical indicators
Meanwhile, Tesla stock is demonstrating medium performance in the overall market, although its recent price action has been very positive, trading near the high of its last month’s range between $182 and $234.68 and showing a healthy trading volume of over 102 million shares per day.
That said, its technical rating is average and does not offer a high-quality setup for the time being, considering the present volatility, with the strongest support zone between $197.81 and $199.99 and the most prominent resistance residing in the $251.53 to $253.50 area.
At the same time, TSLA stock’s 10, 50, 100, and 200 simple moving averages (SMAs) are all positive, with the exception of the 20 SMA, which is demonstrating a bearish trend, with a neutral 14-day relative strength index (RSI) of 53.41, as per the latest data on August 21.
What’s next for Tesla stock?
It is also worth noting that Wall Street analysts are also divided in terms of Tesla stock forecast, setting the average target at $211.46, which suggests a 4.36% decrease from its current price, with the lowest target at $85 (-61.55%), and the highest standing at $310 (+40.21%), and a general score of ‘hold.’
Among them is Piper Sandler’s Alexander Potter, who advises buying Tesla stock before the robotaxi event, arguing that, aside from Tesla’s vehicle deliveries and automotive gross margins, investors should consider its growing profits from large stationary batteries and advances in full self-driving software.
On top of that, Piper Sandler’s managing director and senior research analyst with a focus on transportation technology has also highlighted that Tesla Energy’s long-term target gross margin should be 20% and has retained an ‘overweight’ rating on Tesla shares with a price target of $300.
Taking into account the approaching robotaxi event, which will take place in less than six weeks, as well as Musk’s ambitious plans for the service, it could act as a bullish trigger for TSLA stocks, especially in combination with several analysts’ optimism. However, trends in the stock market can change, so doing one’s own research is critical.
Buy stocks now with eToro – trusted and advanced investment platform
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
