Tesla investors are in for a surprise with analyst Jim Cramer’s latest assessment of the company. When it comes to Tesla analysts, there is usually a clear divide between the bulls and the bears. However, Jim Cramer, host of CNBC’s Mad Money, is known for his changing opinions on Tesla stock (NASDAQ: TSLA).
Cramer has been both bullish and bearish on Tesla in the past, but now he is back to being a bull. His recent comments focus on two key points: NVIDIA CEO Jensen Huang’s positive view of Tesla and the recent launch of the Robotaxi fleet.
Regarding Jensen Huang’s perspective on Tesla, Cramer believes that the emphasis on quarterly and annual deliveries is overblown. He argues that Tesla is not just a car company and points to Huang’s high praise for the company as a reason to be optimistic. Cramer quotes, “I believe what Musk says cause Musk is working with Jensen and Jensen’s telling me what’s happening on the other side is pretty amazing.”
In terms of the Robotaxi launch, Cramer dismisses the negative media coverage of the early rollout in Austin, Texas. He acknowledges that there have been minor issues, but compares them to human errors in vehicles. Cramer questions why Tesla’s mistakes are magnified when drivers make errors all the time. He highlights Tesla’s measures to ensure safety during the test phase, including safety monitors in the passenger seat and limited travel areas.
Tesla is continuously improving its Robotaxi fleet and aims to gradually reduce the need for safety monitors. CEO Elon Musk hinted that more freedom could be granted within one or two months. It is evident that Tesla is committed to advancing its autonomous driving technology while prioritizing safety.
Overall, Cramer’s reassessment of Tesla as a bullish analyst reflects the company’s potential for growth and innovation beyond traditional automotive standards. Investors should consider the broader narrative surrounding Tesla, including partnerships with industry leaders like NVIDIA and the promising developments in autonomous driving technology.