Tesla (TSLA) is facing renewed investor scrutiny following two major recent developments: the unexpected departure of its robotics head, Milan Kovac, and a rare stock downgrade from Baird. The twin setbacks have raised fresh questions about the company’s ambitious AI and robotics roadmap, particularly the future of its Optimus humanoid project.
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For context, Tesla’s highly anticipated robotaxi service is reportedly set to launch in Austin, Texas, on Thursday, June 12. However, the company has yet to officially confirm the date or provide specific details.
Baird Downgrades TSLA Stock from Buy to Hold
Analyst Ben Kallo at Baird downgraded the EV giant from Buy to Hold while maintaining his price target at $320. Kallo attributes Tesla’s recent stock performance partly to excitement around the upcoming launch of a more affordable vehicle and the anticipated robotaxi service expected in June. However, they express skepticism regarding CEO Elon Musk’s optimistic forecasts for the robotaxi ramp-up, suggesting that much of this “excitement has been priced into shares.”
The Baird team also highlighted that Musk’s public association with President Donald Trump has added a layer of uncertainty to Tesla’s outlook, influencing their decision to downgrade the stock.
Despite the downgrade, Baird continues to view Tesla as a core long-term holding but has opted for a more cautious stance in the short term.
Tesla Hit by Exit of Robotics Head
In separate news, Tesla’s Kovac exit marks a potential setback for the company’s Optimus project. Kovac played a pivotal role in leading the development of Optimus, the humanoid robot central to Musk’s ambition of evolving Tesla into a robotics and AI powerhouse.
Notably, Musk recently stated that Tesla aims to build several thousand humanoid robots in 2025, scaling up to tens of thousands in 2026.
Is Tesla a Good Share to Buy?
According to TipRanks, TSLA stock has received a Hold consensus rating, with 16 Buys, 10 Holds, and 10 Sells assigned in the last three months. The average Tesla stock price target is $285.91, suggesting a potential downside of over 3% from the current level.
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