Tesla, Inc. (NASDAQ:TSLA) is a Must-Watch AI Stock on Wall Street. On August 29, Piper Sandler analyst Alexander Potter reiterated an Overweight rating on the stock with a $400.00 price target. The rating affirmation followed the firm's tour and meeting with the company's investor relations team.

The firm noted how Tesla's robo taxi service has expanded to more than 170 square miles, while Waymo service area is 90 square miles in the same city. The company's Full Self-Driving version 14 is set to arrive in September/October, enabling Tesla owners to use software that is similar to robo-taxis in Austin.

Tariff costs may rise in the second half of the year, impacting cost of goods sold estimated at "a couple thousand" USD per unit. Meanwhile, U.S. tax credit changes will lead to a "pull-forward" in demand for Tesla and competitors during the third quarter.

The firm further estimated that by 2026, Tesla's Optimus humanoid robot is likely to move and stage parts within Tesla facilities.

Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives.

While we acknowledge the potential of TSLA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.