Tesla Investors Fume as Musk’s Overpromising Meets Underdelivering—Again
Elon Musk’s grand visions collide with harsh reality—and shareholders are losing patience.
The hype vs. the receipts
Another quarter, another gap between Tesla’s sky-high promises and its actual deliverables. The EV giant’s stock wobbles as analysts question whether ‘production hell’ has become ‘execution purgatory.’
Wall Street’s verdict
Institutional investors now openly mock Musk’s timelines—remember ‘full self-driving by 2023’?—while retail bagholders cling to memes and hope. Meanwhile, legacy automakers quietly eat Tesla’s lunch where it matters: profit margins.
The cynical take
At this rate, Tesla’s most reliable product might be its stock volatility—perfect for day traders, brutal for anyone expecting fundamentals to matter. Maybe next quarter they’ll promise robotaxis… again.
Wall Street divided on Tesla’s long-term bet
Canaccord Genuity’s analysts maintained their buy recommendation, “love robotaxis. And robots,” while warning, “we need the P&L dynamics to turn.”
They added that Tesla is well situated to capitalize on these ventures over the longer term. Jefferies labeled the update “a bit dull,” and Goldman Sachs noted the pilot taxi program is “still small” with limited technical disclosures. Tesla did not respond to requests for comment.
Musk, who describes himself as “pathologically optimistic,” has historically energized investors with visions of driverless cars, humanoid robots and more affordable EVs.
Yet after more than a decade of postponed autonomy milestones, some on Wall Street argue that Tesla is falling behind competitors like Waymo in the U.S. and Apollo Go in China.
In its investor deck, Tesla described Q2 as the start of its shift “from leading the electric vehicle and renewable energy industries to also becoming a leader in AI, robotics and related services.” The company provided no updated guidance on revenue or profit for the remainder of the year.
Practical obstacles have emerged for Tesla’s autonomoustaxi ambitions.
According to Business Insider, employees were informed on Friday that the Bay Area service could launch as soon as this weekend.
To date, Tesla hasn’t filed the required applications with California’s DMV or Public Utilities Commission. Regulators have confirmed that only chauffeur‑operated fleets are permitted under existing approvals, not fully driverless rides. Company leaders said they’re pursuing clearances in states like Nevada, Arizona, and Florida but offered no specifics on the regulatory criteria.
Waymo grows with more testing and revenue growth
In Austin, Tesla reports its robotaxis have logged roughly 7,000 miles on routes capped at 40 mph. The pilot uses about ten to twenty Model Y SUVs equipped with the latest self‑driving suite,with each trip monitored remotely while a safety driver remains ready to intervene if necessary.
In comparison, Alphabet disclosed that its Waymo Driver has surpassed 100 miles of autonomous operation on public roads this year, testing in more than ten cities, including New York and Philadelphia. They’ve bundled ride revenue under the “Other Bets” segment, which recorded $373 million in the quarter.
On Friday, he posted on X that he believes Tesla could someday be worth $20 trillion. He said its car and robot AI are a lot better than Google’s and outperform anyone else’s in real-world use.
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