Analysts from Piper Sandler reaffirmed their $500 price target for Tesla shares following a tour of the Fremont Factory and a test of the company's Full Self-Driving software. They described the FSD Version 14 as delivering a smooth robotaxi demonstration that performs comparably to or better than average human drivers. The visit included discussions with Tesla leaders on autonomy and related initiatives.
Piper Sandler's team visited Tesla's Fremont Factory this week, where they tested the latest Full Self-Driving (FSD) software and observed a robotaxi demonstration. The analysts noted that FSD Version 14 showed significant improvements in perception, object handling, and overall ride smoothness. Analyst Alexander Potter stated, “we think FSD is a truly impressive product that is (probably) already better at driving than the average American.” He highlighted a “flawless robotaxi ride to the hotel” as particularly convincing.
The group met with Tesla leaders for more than an hour, focusing on autonomy progress, chip development, and upcoming deployment plans. Discussions extended over 75 minutes specifically on FSD v14 updates. Additional topics included Tesla’s in-house chip initiatives, the Optimus program, and growth in the battery storage business. Analysts emphasized that the company continues to refine cost structures and capital expenditure expectations, which are crucial for future margin recovery.
This reaffirmation comes amid broader analyst interest in Tesla's autonomous driving capabilities. While Piper Sandler holds steady at $500 per share, other firms have issued varying targets, reflecting diverse views on the company's valuation tied to FSD and robotaxi potential.