Tesla’s Robotaxi Launch Sparks Valuation Debate Amidst Sky-High Metrics
Tesla's limited robotaxi debut in Austin has intensified scrutiny of its valuation, with shares trading at 10 times revenue and a forward P/E of 178—nearly nine times the S&P 500's multiple. Barclays' muted 'Equal Weight' rating contrasts with Washington Crossing Advisors' blunt assessment of the premium as 'insane,' as EV tax credits underpinning 52% of profits face political risk.
Earnings projections tell a starker story: 2025-2027 EPS estimates have collapsed by 70-77% since late 2022. The autonomous rollout, while technically smooth, lacked scale—a microcosm of Tesla's broader challenge to justify its price tag through execution rather than narrative.