TSLA Stock Slips Overnight Even As Musk Hypes Cybercab Speed And Cathie Wood’s ARK Sees Trillions Ahead

ARK highlighted Cybercab fares 50% below Uber’s in Austin and projected $0.25-per-mile robotaxi rides at scale.

• Musk touted Cybercab production as over 5x faster than conventional manufacturing, while Tesla rolled out a new FSD collision-evasion feature.
• Goldman said software would matter more than manufacturing savings, maintaining a 'Neutral' rating and $360 target.
• Morningstar’s $450 valuation implies a 22% upside, with Tesla also its top humanoid pick alongside beneficiaries Nvidia and STMicroelectronics.

Shares of Tesla, Inc. (TSLA) slipped overnight heading into Wednesday even as CEO Elon Musk touted faster Cybercab production and Cathie Wood’s ARK Investment Management highlighted lower robotaxi fares. 

TSLA stock closed Tuesday nearly 4% higher at $368.16.

Tesla Cybercab And FSD Updates

“We redesigned Cybercab production for production over 5 times faster than conventional automotive manufacturing!” Musk said on X. Tesla said its “unboxed” process builds vehicle modules in parallel before assembling them in a final step, cutting assembly-line size by half while expanding capacity. The company called it “the first real revolution in automotive manufacturing in over a century.”

Tesla investor and influencer Sawyer Merritt said the line can produce one Cybercab every 10 seconds, with a longer-term goal of five seconds. Additionally, ARK research director Tasha Keeney highlighted Cybercab’s use of electronic brake-by-wire instead of hydraulic plumbing and its lack of rare-earth metals, which Musk called “extremely difficult to achieve” while maintaining range.

Merritt also noted that Tesla began rolling out FSD version 14.3.9 with Automatic Collision Evasion. According to him, the feature can activate FSD Supervised during manual driving if a frontal crash appears imminent and braking alone may be insufficient. It can also engage when the vehicle detects inadequate driver attention or potentially unintended FSD disengagement.

Analysts Weigh Tesla’s Robotaxi Opportunity 

ARK said a 15-minute Cybercab ride in Austin initially cost about 40% less than a Model Y Robotaxi trip and 50% less than Uber, though waits were longer. At scale, it projects fares of $0.25 per mile, which is about one-tenth the cost of human-driven ride-hailing and one-third that of personal car ownership.

The firm sees Cybercab helping unlock a “multi-trillion-dollar” autonomous ride-hailing market, with third-party fleet ownership playing a key role. Tesla is already soliciting interest from potential fleet buyers online.

Goldman Sachs, however, said software performance would matter more to expansion than manufacturing savings, according to Investing.com. Achieving Tesla’s targeted $20,000-$30,000 vehicle cost could yield a $0.05-$0.30 per-mile advantage over competitors using $50,000-$100,000 vehicles.

Goldman maintained a Neutral rating and a $360 target, implying about 2% downside from $368.16. Its illustrative $500 upside and $150 downside scenarios imply a 36% gain and 59% decline, respectively.

The brokerage named Tesla its top humanoid-robotics pick, alongside potential beneficiaries Nvidia (NVDA) and STMicroelectronics (STM). Morningstar forecasts U.S. humanoid sales of 3.5 million units in 2035, creating a market worth more than $100 billion.

Musk Eyes Cybercab Expansion Into Europe

Meanwhile, Musk raised hopes for international expansion on Tuesday, replying to a German Cybercab passenger: “Hopefully soon in Europe too.” Tesla has announced no European launch date, city or approval route. Musk previously cautioned on an earnings call that discussing European robotaxi operations was “probably jumping the gun.”

“We don’t control the regulators, we push as hard as we can but it’s ultimately up to the governments in Europe and the EU to decide what to do,” he said in April. On the timing of unsupervised service, he added: “I actually don’t know what the time frame for that is, and would be somewhat at the mercy of the regulators.”

Tesla CFO Flags Nearly $1M Stock Sale

Meanwhile, CFO Vaibhav Taneja filed notice of a proposed sale of 2,606 Tesla shares valued at about $938,509 through Morgan Stanley. The new regulatory filing identified the shares as restricted stock acquired on Saturday and reported no sales during the past three months.

How Do Retail Traders Feel About TSLA?

On Stocktwits, retail sentiment for TSLA slipped to ‘neutral’ from ‘bullish’ levels a day ago amid ‘high’ message volume.

One bullish user said, “$TSLA I wanna take a Robotaxi from my door in Los Angeles to my hotel lobby in Las Vegas no airport lineups…. My own private cabin with a 22 inch screen that I can game on”

View this Stocktwits post

Another user said, “$TSLA dip buying cybercab event!”

View this Stocktwits post

So far this year, Tesla's stock has lagged its "Magnificent Seven" peers, making it the group's worst performer, down about 18%. 

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