Tesla Inc's (NASDAQ:TSLA) most recently reported three months represent "a good quarter while laying the autonomous path,” that's the view from West Coast-based stockbroker Wedbush.
Analyst Dan Ives, a notable Tesla bull, highlighted continued revenue momentum and accelerating progress across its self-driving and energy segments.
In his commentary, Ives gave commentary on a set of numbers that saw Tesla post third-quarter revenues of $28.1 billion, well ahead of the Street’s $26.3 billion consensus forecast, with strong demand seen in EMEA and Asia, which helped offset a minor earnings miss.
Free cash flow jumped 46% year-on-year to $3.99 billion.
The broker said Tesla’s push into autonomy remains central to its long-term value story, with fleet drivers now having logged over 6 billion Full Self-Driving (FSD) miles. It also noted Tesla’s development of the AI5 chip with Samsung and TSMC could be a “game-changer,” offering up to 40x performance improvements.
Wedbush, in its note, also pointed to the upcoming Cybercab and Optimus humanoid robot programmes as key catalysts from 2026, alongside robust energy storage demand.
Repeating an 'Outperform' rating, Wedbush retained a $600 price target, projecting Tesla could reach a $2 trillion market cap by early 2026, and potentially $3 trillion as its “golden AI chapter” unfolds.