Wood believes Tesla has one irrefutable advantage.
Ark Investor CEO and stock market authority Cathie Wood has built up her reputation based on some big-deal trades, with one of her earliest and most influential investments in Elon Musk’s electric vehicle producer Tesla (TSLA) – Get Free Report.
Even as Tesla has experienced stock slumps over the last few months, Wood has been scooping up Tesla stock and looking toward the future.
DON’T MISS: Cathie Wood Reveals One of the Key Theories She’s Banking on for Her Firm’s Tesla Investment
On Thursday, Wood underlined exactly why she believes Tesla has remained such a hot grab. She quoted a tweet by Ark’s Director of Research Autonomous Technology & Robotics Sam Korus that breaks down the cost of an electric vehicle’s drivetrain, a key part that connects the engine to the wheels and enables the vehicle to move. This crucial part costs approximately one-quarter of the cost of a vehicle.
After Tesla’s Investor Day event on Wednesday, Korus was able to break down how new innovations in Tesla tech can shave down the overall price of the vehicle.
Wood has said before that Tesla’s advantage in the industry will make it near impossible for competitors to keep pace with the company. Prior to the Investor Day event, Wood predicted that there would be an update regarding Tesla’s proposed fleet of robotaxis.
“We think that a robotaxi could start at $25,000,” she said this week on CNBC. “It’s going to be very difficult for the competition to beat that. In fact, they won’t be able to come anywhere near it.”