Tesla Stock Jumps Another 2% After a 7% Rally in Prior Trading Session

Tesla stock jumped over 2% in premarket trading on Monday after rising over 7% last Friday as investors suddenly appeared more optimistic about the outlook. It’s also possible that traders are in control of the recent rally.

Wedbush Securities' investor and Tesla Inc. bull Dan Ives has predicted a $1 trillion market opportunity for the Elon Musk-led EV giant's robotics and autonomous push.

In a new investor's note shared on the social media platform X on Sunday by influencer Sawyer Merritt, Ives outlined his thoughts on Tesla and its roadmap to the future and Tesla's Robotaxi expansion into other cities across the U.S. He also reiterated that Musk is in a "Wartime CEO" mode, helping boost Tesla's credentials in the tech industry's "AI Arms Race."

"We estimate the AI and autonomous opportunity is worth at least $1 trillion alone for Tesla," Ives said, adding that despite President Donald Trump and Musk's relations creating a "soap opera" situation, Trump wants the U.S. to "stay ahead of China in this AI Arms Race."

Ives outlined Tesla's importance in the autonomous driving sector, saying that the EV giant plays a "major role" in the Robotaxi industry. "We expect over the coming months an easing of the federal framework for autonomous with more power going to the federal regulators," Ives said.

The news comes as Tesla's Q3 deliveries are expected to surpass analyst expectations, which has led to a surge in stock value. The expected sales milestone is driven largely by a rush to avail the IRA $7,500 credit on electric vehicles, which ends on September 30, according to Future Fund LLC's managing director, Gary Black, and not due to any advancements in autonomous driving technology or Robotaxis.