TLDR
- Tesla stock expected to maintain upward momentum according to Piper Sandler analyst Alexander Potter, who keeps $400 price target
- Tesla’s robotaxi service launches June 22 in Austin, Texas, with first customer delivery planned for June 28
- Stock down 19.2% year-to-date but up 91% over past 12 months and 14.6% over four consecutive trading days
- Any high-profile robotaxi accident could trigger violent downside move in stock price, analyst warns
- Tensions between CEO Elon Musk and President Trump appear to have eased after recent public disagreement
Tesla stock continues its recent climb as the electric vehicle maker prepares for its robotaxi service launch later this month. Piper Sandler analyst Alexander Potter maintains his optimistic outlook on the stock.
Potter believes Tesla shares will sustain upward momentum over the coming weeks. The five-star analyst kept his Buy rating and $400 price target, suggesting 22.5% upside potential from current levels.
Tesla stock fell 1.4% to $322 in premarket trading Thursday. This followed four consecutive days of gains totaling 14.6%.
The stock remains down 19.2% year-to-date despite strong long-term performance. Shares have climbed 91% over the past 12 months.
Recent volatility stemmed from a public disagreement between CEO Elon Musk and President Trump. The feud sent shares down 17.3% over two days last week.
Musk posted on X Wednesday that he regretted some comments about the President. Trump confirmed he would not cancel SpaceX contracts or stop using Tesla and Starlink services.
Robotaxi Service Set for Austin Launch
Tesla’s autonomous robotaxis have appeared on Austin streets ahead of the commercial launch. Musk confirmed June 22 as the target date for service to begin.
The CEO posted video footage Tuesday showing driverless Tesla vehicles operating in Austin. He announced plans for a Tesla to drive directly from the factory to pick up a paying customer on June 28.
What sets Tesla's robotaxi strategy apart is that you can literally buy this car today for $37,490. No massive and expensive sensor suites that need to be retrofitted/added. It's an inexpensive and beautiful solution, and this is even before Cybercab, which will take it to the… https://t.co/VaceOzEfDC
— Sawyer Merritt (@SawyerMerritt) June 11, 2025
Tesla aims to deliver its first fully self-driving vehicle to a customer’s home by that date. The vehicle would drive itself from the factory line to the customer’s driveway.
Musk remains cautious about the timeline despite the excitement. “We are being super paranoid about safety, so the date could shift,” he wrote on X Tuesday.
The initial launch may start with as few as 10 vehicles. Teleoperators will monitor the system to ensure safety during early operations.
Many details about the service remain unclear. Investors don’t know how many cars will operate initially or what the ride-hailing app will look like.
Questions also remain about whether the service will be invite-only or open to all users. Some investors speculate early access will be limited.
High Stakes for Tesla’s Autonomous Future
Potter highlighted the robotaxi launch as a key component of Tesla’s future. Most analysts have built premium valuations into their price targets based on autonomous driving technology.
The analyst warned that any high-profile robotaxi accident could trigger a violent downside move in the stock. Safety remains the primary concern as Tesla prepares for commercial operations.
Investors and analysts show excitement about Tesla’s entry into full self-driving technology. The company has positioned autonomous vehicles as a major growth driver.
Following success in Austin, Tesla plans to expand the robotaxi service to other cities. The rollout timeline for additional markets remains unannounced.
Tesla stock carries a Hold consensus rating on TipRanks based on 14 Buy, 12 Hold, and nine Sell ratings. The average price target of $285.97 implies 12.4% downside from current levels.
Shares gained 37% since Tesla’s April 22 first-quarter earnings report when management confirmed the June robotaxi launch target.
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