Leading American automaker Tesla can potentially secure up to $20 billion in revenues from its major Supercharger deals with other companies, according to Dan Ives of Wedbush’s forecast.
“To dive deeper into this sum-of-the-parts valuation, we modeled & projected out Tesla’s supercharger network, taking into account access & revenues from other OEMs using stations across the United States. Ultimately, we estimate that Tesla’s supercharger business will be roughly 3%-6% of total revenues, translating to a $10 billion – $20 billion business by 2030.”
Dan Ives of Wedbush indicated in a note on August 25.
As EV-a2z has been reporting, the Tesla Supercharger network is currently acknowledged as the most potent, reliable, and enormous compared to any other brand worldwide.
That said, it is unsurprising that numerous automakers decided to adopt Tesla’s charging standard to access its Supercharging network.
Tesla’s Supercharger deals
American automaker Aptera Motors is apparently the first to announce plans to adopt Tesla’s North American Charging Standard (NACS) in November 2022.
This year, Tesla’s closest rival Ford revealed a similar move as it aims to benefit from the leading Supercharging network.
Since then, increasingly more automakers have joined NACS’ growing family, including the following:
These major EV players will gain access to Tesla Superchargers through an adapter by mid-2024. They committed to integrating the NACS charging port into their next-gen EV models by 2025 to eliminate the need for such adapters.
Tesla’s other revenue boosters
Apart from Tesla Superchargers, Dan Ives of Wedbush also noted other factors boosting Tesla’s revenue. These include:
- High production figures and scale scope
- Booming energy business
- Technological advancement (Autopilot and FSD)
- An “unmatched battery ecosystem”
- Cybertruck
“…we believe Tesla is in a prime position to further capitalize on the EV transformation taking place as part of the government’s plan to reduce carbon emissions to zero by 2050.”
Dan Ives of Wedbush indicated in a note on August 25
As mentioned above, the imminent launch of the highly awaited Cybertruck will also supposedly raise Tesla’s profitability.
“With the delivery numbers representing its flagship model fleet, the much-anticipated Cybertruck remains a hot commodity in the market with the company taking in 1.5 – 1.8 million reservations.”
Dan Ives of Wedbush indicated in a note on August 25
Notably, the all-electric truck has already accumulated more than 1.9 million pre-orders from Tesla and EV enthusiasts.
“While preparing for the launch in FY3Q23, the Cybertruck puts TSLA in a great position to capitalize on the growing need for electric pickups with the electric truck market growing at a 31% CAGR through 2032.”
Dan Ives of Wedbush indicated in a note on August 25
On the other hand, the Full Self-Driving technology is also expected to bring in more revenue. Tesla has been releasing software updates to improve the technology. Moreover, it has also been training FSD and Autopilot’s neural network. As a result, the automaker has already recorded more than 150 million miles of data from its EVs equipped with the said software.
“Last week, the company announced its V12 update, an FSD package with end-to-end AI for improved driving smoothness through turns while enhancing both decision-making and detection in TSLA’s journey with the aim of achieving full autonomy this year.”
Dan Ives of Wedbush indicated in a note on August 25
See Also:
- White House offers Tesla Superchargers subsidies but on one condition
- Ford EVs to have access to Tesla Superchargers in 2024
- Select Tesla Superchargers to provide recharging to non-Tesla EVs in Australia
- Tesla Superchargers dominate charging experience satisfaction, a problem for future competitors
- Tesla, Canada partner to open Superchargers to non-Tesla electric vehicles
Considering these optimistic projections, Dan Ives of Wedbush indicated a price target of $350 for Tesla stock and rated it “Outperform.”
