Self-driving taxis lack key details, humanoid robots rely on manual control, the highly anticipated budget vehicle model is once again absent... Musk's so-called historic event ultimately disappointed Wall Street.

Tesla (TSLA.US) plummeted in overnight US stocks, dropping more than 10% at the opening.

At the Robotaxi Day held on Friday, Tesla's self-driving taxi (Robotaxi) prototypes Cybercab and self-driving bus Robovan officially debuted. According to Musk, the Cybercab may be sold to taxi dispatch companies before "2027" when it is listed.

Musk also stated his expectation that Tesla cars will achieve autonomous driving in Texas and California next year. The humanoid robot Optimus will be priced for mass production at $0.02 million-0.03 million, and Cybercab will be priced below $0.03 million.

"Is it that simple?" Morgan Stanley analyst Adam Jonas asked, questioning in his latest report:

We conducted trials with Cybercab and the latest robot Optimus on closed roads. In addition, we were expecting to receive the latest information on Tesla's Full Self-Driving (FSD) system, such as the improvement in system performance, and Tesla's strategic planning for introducing supervised and unsupervised ride-sharing services, including economic considerations and overall market analysis. We also hoped to hear about Tesla's collaboration with the AI company xAI, or discussions about the "Grand Blueprint Chapter Four" of the company's future development plans.

However, none of these expectations were met, and Jonas felt disappointed with the information and details provided in this event.

No surprises, all disappointment.

Jonas also pointed out that Optimus performed some simple tasks, such as pouring beer and dancing, but these models were not fully autonomous, requiring close human supervision and remote operation.

Our understanding is that these robots are not completely autonomously operated - but rely on remote operation (human intervention), so this is more like showcasing their freedom and flexibility.

Overall, we did not find anything new/novel from Optimus, clearly showing significant progress including minor details unknown to the market before.

Apart from Morgan Stanley, analysts from UBS Group, JPMorgan, and other major banks have also expressed dissatisfaction with this conference.

UBS Group analyst Alejandro Nuno reviewed his experience riding the Cybercab, stating that the experience was fine, but did not receive much useful information:

The car is small, but spacious for two people. However, the car only made a round on the stage. Not too complex, so there isn't much to interpret.

In fact, when our journey reached the designated stop, it could not find a parking space (none available), so it did not wait for a parking spot but continued to the next stop on the route.

Nuno believes that the Robotaxi unveiling falls far short of meeting Wall Street's expectations.

At the same time, we believe that there is high anticipation for Tesla to showcase the Model 2.5, but it has not been demonstrated (as we expected). This is crucial because we believe that the new model, rather than the new products showcased during the event, is more likely to drive performance expectations for 2025/2026.

After attending the unveiling, JPMorgan analyst Ryan Brinkman cryptically remarked that it is more enjoyable to ride in a Cybercab and savor the experience than to anticipate the surprises it brings when arriving at the destination. His words imply that the autonomous driving function of the Cybercab may not have met expectations.

He pointed out that since April 22, despite Tesla's stock price rising by 68%, the market has shown a significant decline in expectations for Tesla's 2024 full-year car sales, EBIT (earnings before interest and taxes), and free cash flow. Forecasts for the next few years are also equally pessimistic, as the stock price increase appears to be more based on investors' expectations for Robotaxi Day rather than an improvement in the company's fundamentals.

Brinkman believes that investors' expectations for Tesla may be too high, a point evident from the way the event was announced:

The event was not announced through an official press release, Tesla's official tweet, or Musk's tweet, but rather was mentioned by Musk in response to someone else's tweet on the X platform. This informal and somewhat casual approach.

In his response, Musk seems to be refuting a Reuters report claiming that Tesla's internal emails indicated the planned $25,000 "Model 2" project had been canceled or indefinitely postponed. Musk stated that the Model 2 project has not been canceled but repositioned as a robotaxi and will be unveiled at Tesla's Robotaxi Day.

Elon Musk's response tweet successfully reversed the downward trend of Tesla's stock price on April 8th due to Reuters' report. However, investors may have placed too much emphasis on this tweet without realizing that it does not equate to an official company statement.

In addition, Tesla has postponed the Robotaxi Day from August 8th to October 10th due to the need for design changes. This may indicate that the Tesla team is working hard to meet a challenging deadline that may not be as easy to achieve as they had expected.

New York financial market analyst Tom Narayan from RBC Capital Markets pointed out that investors believe this event lacks real financial numbers and timelines (especially the much-anticipated absence of the affordable car models), focusing more on the brand and marketing vision of Tesla, which is truly disappointing.

Despite this, Narayan remains bullish on Tesla's long-term development and believes that humanoid robots may become an important growth driver for Tesla in the future.

As Tesla's stock price falls, Uber hits an all-time high with an innovative 'lying down and winning' strategy.

The market is even more bullish on Uber (UBER.US) and online car-hailing companies like Lyft as Elon Musk's Robotaxi performance fell short of market expectations.

On Friday, Uber rose more than 10.5% to hit a record high intraday, while Lyft rose more than 11.3% at one point.

Citigroup analyst Ronald Josey said:

"Tesla's activities have given us a clearer understanding of the company's plans and timing for self-driving rental cars, which makes us more bullish on Uber's stocks. There are not many specific details about the Cybercab's sales and ride-hailing app, which leads us to believe that Tesla may still collaborate with Uber for sales in the future."

Jefferies analyst John Colantuoni believes:

"This event is good news for Uber. He described Tesla's taxis as 'not competitive' and pointed out that the company has provided no verifiable evidence of its progress in autonomous driving capabilities, nor disclosed how many self-driving taxis it plans to produce."

This article is reproduced from "Wall Street News"; edited by Financial Intelligence: Li Fo.