The idea that electric vehicle giant Tesla (TSLA) was planning to branch out from being “just a car company” was supposed to lend new life to Tesla’s operations. But as it turns out, Tesla investors were not exactly enthusiastic about investment in artificial intelligence. Despite this, Tesla stock surged up over 4% in Monday afternoon’s trading.
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Tesla investors got access to a shareholder proposal that called for an investment in xAI, which is Elon Musk‘s private artificial intelligence startup. But investors did not bite, at least not as fully as Musk himself likely would have preferred. The move got 1.06 billion votes for the proposal, and 916.3 million against. However, the vote also got over 473 million abstentions, and since Tesla’s bylaws count abstentions as votes against, the proposal did not pass.
However, the measure itself is nonbinding, reports note, so this could be treated as a temperature check. After all, the proposal was really only voted down due to an issue of bylaws, reports noted, so the whole thing may ultimately go through at some point.
Just For the Weekend
For those who would like to drive a Tesla, but do not find the huge price tag worthwhile, Tesla actually has a plan with you in mind. At least, it does assuming you live in California. Tesla is launching a short-term rental plan, which allows you to get a Tesla for anywhere from three to seven days. Prices start at $60 per day, depending on model.
Tesla even has a plan to sweeten the pot, offering free Supercharger access and supervised Full Self-Driving access for free as well. Plus, those who rent a Tesla, like it, and decide to buy in will get a $250 credit. But the plan is only available at two locations in California right now, with plans to expand later.
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 a 22.72% rally in its share price over the past year, the average TSLA price target of $382.54 per share implies 14.66% downside risk.
