The Future Fund‘s Gary Black said Sunday that Tesla Inc.‘s (NASDAQ:TSLA) bulls are misreading how Wall Street actually values the company’s robotaxi business, pushing back against an argument that a sharp repricing is inevitable once the unit’s earnings become “undeniable.”
‘You’ve Never Been a Wall Street Analyst’
“Jo, respectfully, you’ve never been a Wall Street analyst,” Black said in a post on X, responding to a user, Jo Bhakdi, who argued that analysts don’t wait for robotaxi cash to “land” before adjusting price targets, since equity research is built on next year’s earnings, not trailing results.
“WS analysts forecast valuations based on their projections of forward earnings and cash flows, not based on where the first real number prints,” Black added.
He said Wall Street assumes Tesla will achieve unsupervised autonomy “at about the same time as a handful of others,” making the technology “quickly become a commodity” rather than a Tesla-exclusive edge.
