Electric vehicle giant Tesla (TSLA) knows that holiday shopping can be difficult. Even with all the alternatives we have these days, picking just the right present can be a tall order. But it has an idea, especially if you know a Tesla owner. This year, why not give the gift of Full Self-Driving (FSD)? The idea did not sit well with investors at all, and shares skidded down nearly 4% in Tuesday afternoon’s trading.
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The idea is simple enough. Normally, FSD access comes with a subscription, or a hefty one-time payment. But now, people can offer up free FSD access for a range of time frames as though it were a Hickory Farms gift basket. Word from Tesla notes that the company plans to start up the gifting program ahead of Christmas, which means those who want to get something special for a Tesla owner in their lives can do so readily.
Tesla already offered gift cards, which could have been used for FSD service. But this is much more specific. FSD service is available for $99 per month, or for a flat fee of $8,000. The $99 monthly rate is a substantial savings over the original price of $199 per month, though Tesla has warned in the past that the rate could rise, especially the closer FSD gets to a complete release.
Every Road is a Supercharger
Meanwhile, the idea of turning roads into wireless charging stations for electric cars is on the rise, and another stretch of road has been converted accordingly. Electreon, backed up by the Vinci Group, took its act on the road and electrified a roughly one-mile stretch of road, allowing cars to drive down said road and recharge as they drove.
Electreon previously brought such efforts to Detroit, but the Paris stretch is significantly more advanced, reports note. Regardless, the idea of being able to fuel a vehicle by driving it on a particular stretch of road instead of trying to find a charging station is a powerful one. It is also one many drivers will likely enjoy seeing, particularly if such tools see broader use.
Is Tesla a Buy, Hold or Sell?
Turning to Wall Street, analysts have a Hold consensus rating on TSLA stock based on 14 Buys, 10 Holds, and 10 Sells assigned in the past three months, as indicated by the graphic below. After an 86.28% rally in its share price over the past year, the average TSLA price target of $395.54 per share implies 12.08% downside risk.
