Tesla Inc (NASDAQ:TSLA) shares rose in early trading on Thursday after CEO Elon Musk’s formal departure from the Trump White House.
The move marks a “clear positive” for the electric vehicle maker, according to Webush’s Dan Ives, and signals renewed focus on its autonomous and robotics ambitions.
Ives said Musk’s decision to step away from government work would be “music to the ears of Tesla shareholders,” with the billionaire now "laser focused" on the company’s future in autonomy and AI.
“In another clear positive step for Tesla bulls, Elon Musk officially left the Trump White House last night,” the Tesla bull wrote. “We are now seeing a recommitted Musk leading Tesla as CEO into this autonomous and robotics future.”
Musk posted late Wednesday on X, the social media platform he owns, that his “scheduled time” for government work was coming to an end. He also thanked President Trump, while reiterating criticism of some of Trump's policies, including tariffs and spending measures.
Wedbush estimates Tesla’s AI and autonomous opportunity alone could be worth at least $1 trillion. Ives noted that a path to a $2 trillion market cap by the end of 2026 is “now underway” in a bull-case scenario.
“Rome was not built in a day,” Ives said, “and neither will Tesla’s autonomous and robotics strategic vision. But given its unmatched scale and scope globally, we believe Tesla has the opportunity to own the autonomous market.”
The stock climbed as much as 2.5% at the open before paring gains to trade about 1.8% higher by midmorning.