Tesla profit falls as shares near record high on robotaxi and robot hopes

Tesla reported a steep decline in annual profit on Jan. 28, 2026, as the electric carmaker cut prices to counter mounting competition, even as its shares trade near record highs amid investor enthusiasm for the companys self-driving and robot plans. The companys net profit for the year was $3.8 billion, down from $7.1 billion in 2024, and fourth-quarter profit fell to $840 million from $2.1 billion a year earlier, the report says.

The annual decline was the second consecutive drop. Investors appear less worried about the profit slump because many are betting on Teslas potential in self-driving taxis and humanoid robots. The stock market values Tesla at about $1.36 trillion largely on the premise that Tesla could quickly scale up Robotaxis, the article says.

Elon Musk has said Tesla would begin selling humanoid robots by the end of the year, the company is offering paid driverless rides in Austin without human safety monitors, and Mr. Musk reiterated plans to begin producing the Cybercab, a two-door autonomous vehicle, in April. The article notes limitations and competition: Tesla is far behind Waymo in the self-driving taxi business, and Waymo offers driverless service in Austin and five other U.S.

cities. "Waymo has more commercial miles than Tesla," said Tasha Keeney of Ark Invest.

tesla profit decline, tesla net profit 2025, fourth-quarter profit drop, tesla price cuts, model 3 price cut, model y price cut, cybertruck sales decline, tesla vehicle deliveries 2025, tesla market capitalization, robotaxi plans, tesla robotaxi, self-driving taxis, full self-driving software, optimus humanoid robots, selling humanoid robots, cybercab production april, paid driverless rides austin, waymo driverless service, waymo commercial miles, ev competition byd volkswagen, ev tax credit elimination, tasha keeney ark invest, barclays analysts tesla