Tesla’s annual deliveries dropped in 2025, facing competition from BYD Co Ltd and expiring EV tax credits. CEO Elon Musk is banking on autonomous vehicles, but revenues are years away. Despite a decline in deliveries, Tesla’s Energy business thrives. The stock trades at a premium, but long-term potential remains promising. It’s a high-risk, high-reward investment.

Musk is focusing on robotaxis and robotics to drive Tesla’s future growth. The robotaxi service is expanding, but competition from Alphabet’s Waymo remains fierce. Tesla’s Energy business is flourishing with strong sales of energy storage products. While the stock has underperformed, its potential for growth in autonomous vehicles and energy storage makes it worth holding onto.

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