As Tesla Motors gears up for its autonomous taxi Cybercab unveiling, the electric vehicle giant with grand self-driving ambitions is once again capturing the market's attention. Data indicates that Tesla's stock has climbed 2.37% this week. After surging over 18% in August, outperforming a host of American and Chinese EV makers, the share price has now rebounded roughly 20% from its late-July low.
The event is drawing near, with Cybercabs making frequent appearances in Austin. On August 22, Tesla announced on X that it would hold the Cybercab launch event on September 3 in Austin, Texas. This model, designed exclusively for fully driverless operation, lacks a steering wheel and brake pedal. As Tesla's first purpose-built Robotaxi, it's poised to join the Austin fleet and gradually transform the current Model Y-dominated operation model.
Ahead of the official debut, Tesla has completed extensive groundwork. Since June, Cybercabs have undergone public road testing across multiple U.S. locations, including Austin. In July, Tesla began having employees take trial rides on private roads within the Austin campus to gather feedback, mirroring the process before last year's Robotaxi rollout. Concurrently, Tesla has been training emergency responders in Austin on how to handle and move the vehicles in urgent situations.
As the launch nears, sightings of these gold-colored autonomous vehicles in Austin are accelerating. Videos shared online show multiple Cybercabs driving or parked throughout the city. Moor Insights & Strategy chief analyst Patrick Moorhead previously noted he spotted Tesla Cybercabs all over downtown Austin, marking the first time he'd seen numbers comparable to Waymo's fleet. Tesla's AI chief Ashok Elluswamy also shared footage of the vehicles, declaring "the streets will never be the same."
Tesla investor and influencer Sawyer Merritt reported on X that Tesla has added 38 more Cybercabs to its Robotaxi fleet, bringing the total registered with the Texas Department of Motor Vehicles to 45. Merritt also noted Tesla has expanded its Austin Robotaxi service area for the first time in ten months, increasing the geofence by roughly 9% to 264 square miles. By comparison, Dallas covers 81 square miles, Miami 31, Orlando 26, Houston 25, and Tampa 24.
Cost advantages could prove to be the decisive factor. A Tesla supporter recently shared a comparison image highlighting how much 1 million dollars can buy: at an estimated 125,000 per unit, that would purchase 8 Waymo vehicles; whereas at Ark Invest's estimated 18,000 per unit, it could secure over 50 Cybercabs. CEO Elon Musk has also emphasized Cybercab's potential cost edge, stating on X that "this doesn't even account for Cybercab's operational efficiency." When a user asked if Tesla was planning a "mass influx" of Cybercabs into Austin, Musk replied "yes." Musk has previously suggested the two-seater, designed for autonomous operations, could ultimately cost around 30,000.
Tesla began producing some Cybercabs in April and has been testing them on public roads. However, the company hasn't disclosed the specific schedule or full format for Thursday's event, only promoting it as "Exclusive Access: Cybercab." In practice, Tesla's cost advantage in autonomous services is already becoming evident. Merritt shared that four unsupervised Model Y Robotaxi trips totaling 8 miles cost 27.25; in comparison, a 20-minute Uber ride came to 33 including tip.
Praise is emerging. Ross Gerber, CEO of Gerber Kawasaki and a frequent Tesla critic, struck an optimistic tone this time. He said on X, "Tesla's Cybercab launch event kicks off Thursday. That's pretty cool. Hopefully it goes well." Gerber pointed out that most automakers still lag far behind Tesla in both software and hardware, calling the Cybercab the "first physical AI EV." He also praised the vehicle's design and suggested Tesla should produce a version "for people to buy and drive." His optimism extends to Tesla's Full Self-Driving software, noting that version 14.3.8 has far fewer disengagements, representing "significant improvement," though he cautioned he still needs to intervene too frequently.
Future Fund managing director Gary Black also lauded Tesla's competitive strengths while cautioning that the stock remains richly valued. He remarked on X, "Never short a great company, even if it trades at an expensive valuation." Black called Tesla a "great company" with industry-leading technology, notable manufacturing cost advantages, exposure to major long-term structural trends, and a visionary leader capable of attracting engineering talent. However, he noted Tesla trades at roughly 220 times projected earnings while its long-term earnings growth is estimated at 35%. He said this premium "gives investors a reason not to own it, but not a reason to short it."
Wall Street remains optimistic about Tesla's stock outlook. According to SeekingAlpha, the average 12-month price target is 390.09, with an overall consensus rating of "buy." Among the 46 analysts covering Tesla, 16 rate it a "strong buy," 6 a "buy," 19 recommend "hold," 2 a "sell," and 3 a "strong sell."