Tesla shares rose 3.6% in Monday afternoon trading to $367.52 as Elon Musk stated that Optimus and Cybercab will dominate future company value. The rebound precedes Tesla’s third-quarter earnings release on Wednesday, October 21, amid Wall Street projections of a 14% earnings decline compared to the previous year.
Tesla stock gained 3.6% in Monday afternoon trading, reaching $367.52 at 2:02 p.m. Eastern time on October 19, according to Stock Analysis figures cited by FinanceFeeds. The shares recovered from a Friday close of $354.72, following an overnight Sunday gain of approximately 1%. Friday’s session had closed down 2.13% on roughly 61.9 million shares.
The stock movement coincided with a broader technology sector rebound, which made it difficult to isolate Elon Musk’s remarks as the direct cause of the gain. Late Saturday, October 17, Pacific time, Musk posted on X that Optimus and Cybercab will be the vast majority of Tesla‘s value,
responding to a discussion regarding the newly demonstrated Roadster sports car. Musk argued that robotics, artificial intelligence, solar energy, and space transportation hold greater long-term economic potential than the Roadster, which Morningstar estimates will enter production in 2028 and eventually yield fewer than 2,000 deliveries annually.
Wall Street Expectations Ahead of the October 21 Earnings Release
Tesla confirmed it will publish its third-quarter financial results after the US market closes on Wednesday, October 21, followed by a management webcast at 5:30 p.m. Eastern time. Reuters reported on October 19 that analysts project adjusted earnings of approximately $0.43 per share on revenue of $27.88 billion. That compares to earnings of $0.50 per share a year earlier, implying an earnings decline of approximately 14%.
Investors plan to examine automotive gross margins, operating expenses, capital expenditure, and operating cash flow alongside headline figures. Morningstar maintains a $450 fair value estimate for Tesla shares, leaning heavily on autonomous driving and robotics rather than the limited-volume Roadster sports car. Stronger cash flow could ease near-term concerns regarding technology investments, whereas deterioration would heighten scrutiny over when those outlays will generate measurable returns.
Commercialization Tests for Cybercab and Optimus
Wednesday’s conference call offers investors an opportunity to question management regarding the operational progress of Cybercab and Optimus. Key metrics for Cybercab include active commercial vehicles, geographic expansion, regulatory requirements, and the cost of delivering autonomous transportation services. Nevada previously authorized Tesla to operate up to 5,000 autonomous vehicles, though that regulatory ceiling does not establish how many vehicles are actually in service.
For Optimus, investors are seeking concrete evidence regarding manufacturing progress, production costs, and potential customer demand. Musk’s long-term investment thesis describes future value rather than a measurable shift in current earnings, as Tesla has not yet established that Optimus or Cybercab will achieve the revenues, operating margins, or production volumes necessary to support those valuation claims.
