Tesla's AI and Robotics Efforts Get Top Pick Status From Morgan Stanley, Boosting Shares.
Tesla shares rose 2% on Monday after Morgan Stanley reinstated the electric-vehicle maker as its top U.S. auto pick, saying the company's artificial intelligence and robotics efforts could power growth even as the mainstay car business stumbles. The note dated Sunday was the latest from analyst Adam Jonas, a longtime Tesla bull who has praised the company's push beyond autos as sales face pressure from high U.S. borrowing costs and fierce Chinese competition. Industry data showed Tesla sales fell 45% in Europe in January while overall EV sales jumped 37% in the region.
- The recent emphasis on AI and robotics may signal a shift towards more sustainable growth for Tesla, potentially cushioning the impact of declining automotive sales.
- How will the long-term success of Tesla's autonomous driving technology hold up to the scrutiny of regulators and consumers, who are growing increasingly wary of self-driving cars?