In This Article:
Tesla (TSLA) CEO Elon Musk is back at the helm of the electric vehicle innovator after officially departing from his role in the Trump administration, heading the Department of Government Efficiency (DOGE).
Wedbush Securities managing director and global head of technology research Dan Ives sits down with the Market Domination team to talk more about the next chapter for Tesla, while also commenting on the EV maker's current struggles in European markets after seeing sales declines in May.
Ives has previously stated that Tesla is entering its "entering its "golden age" through the rollout of its robotaxi beta in Austin, Texas, on June 12.
To watch more expert insights and analysis on the latest market action, check out more Market Domination here.
For more on what's ahead for Tesla sales as Elon Musk's prepares to makes prepares to make a full return to the company, let's get to longtime bull Dan Ives, Wedbush Securities managing director. Dan, it's great to see you here. Um, so draw the line for me, if you would. What does Elon coming back to the company full-time do for European sales? How does he fix that problem?
Look, I mean, I think the biggest thing with Musk coming back is really leading the autonomous vision. I mean, to me that in terms of the AI vision when it comes to autonomous or about I think that's the most important thing, it's 90% of their future value. In terms of Europe, China, US, look must being there in terms of you know, I look, first off, the brand damage, I believe now is contained and most of that is in the rearview mirror with him at the, you know, Trump administration. But then it's gonna be about rebounding sales in these regions, guiding to the next page of growth. But I do, I mean, to me, the biggest thing here, it's all, it's much more about what happens in Austin late next week than Europe sales down in a month.
Well, but it's still how they make most of their money, right? Um, the vast majority of their money is made from selling cars. Um, when does that rebound happen? And I mean, do we have to get to a year out where they're gonna be lapping these declines? Or do you see some kind of rebound happening this year?
Yeah, look, I think second half of the year, you'll see a rebound in China, a stabilization in Europe. So, I mean, we'll call it less bad in terms of specifically in terms of some of the other countries. And then I think in the US, I think you'll start to see a rebound especially with some of the refreshers starting in 3Q. So you combine that with what ultimately we see when it comes to autonomous and robotics. And I believe a golden age is ahead for Tesla. And that's why we don't, we don't worry too much in terms of month to month, some of these things that we're seeing coming out of Europe in relative to our bullish view where this is heading over the coming years.
And, and Dan, if you look at the stock, it's had a nice move over the past month. I mean it's up about 20% here. What do you chalk that move up to Dan? Is that the Musk return? Is it the robotaxis coming out that you're referencing?
I think it's the Musk return, right? I mean, it all goes back to, you know, we've talked about it, you know, as you know, we would do in during the show. Once Musk recommitted to Tesla, these in the White House were done, Tesla got back its biggest asset. And then that coincides with what I view is the biggest error for Tesla in its history in terms of the, the AI future. I think when it comes to autonomous robots, I think autonomous alone is worth a trillion dollars to the market cap value, and I ultimately believe this is a $2 trillion dollar market cap.
