Tesla Climbs to Third in WSB Rankings Amid China Boost and Robotaxi Buzz

Tesla has secured the third position in the latest WSB rankings, up one spot from yesterday. The company's stock rose by 1.71%, marking a two-day increase of 6.72%, with its intraday peak hitting the highest since July 2024.

As the third quarter comes to a close, Tesla prepares to report its quarterly sales—an event typically influential on its stock price. Analysts led by Ben Kallo from Baird anticipate deliveries to surpass Wall Street's consensus, projecting 480,000 units against the expected 461,000. They have also rated the stock as outperforming with a target price of $280.

Tesla's performance has been buoyed by developments in China, where the recent interest rate cuts and economic stimuli have provided a significant boost. China remains a vital market and a major production hub for Tesla.

Tesla's short-term outlook appears promising, with positive trends in delivery figures corroborated by insurance registration data and other third-party analyses. Even if the third-quarter deliveries fall short, the upcoming October 10 Robotaxi event could act as a strong catalyst for the stock.

In August, Tesla's wholesale sales in China reached 86,697 units with 63,456 vehicles delivered domestically. September's domestic deliveries are expected to exceed 60,000 again, facilitated by the production dynamics of its Shanghai Gigafactory.

The potential long-term supply agreement with South Korea's DB HiTek for power management chips further strengthens Tesla's supply chain. This collaboration could span a decade, focusing on the development and supply of highly integrated semiconductor technology for Tesla’s vehicles.

Adding an element of intrigue is Tesla's unveiling of the Robotaxi on October 10, which Elon Musk has deemed a milestone event. This new offering could disrupt traditional business models in the autonomous vehicle sector by allowing consumers to engage their vehicles in ridesharing services.