Elon Musk Encourages Relocation to Austin Following Coinbase's Move to Texas with Tesla
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 13 2025
0mins
Should l Buy TSLA?
Source: Benzinga
Musk's Criticism of Delaware: Elon Musk has intensified his criticism of Delaware's corporate environment, suggesting that the state is losing companies like Coinbase and Tesla to Texas due to unpredictable legal outcomes.
Texas as a New Business Hub: Coinbase's legal chief highlighted Texas as an appealing alternative for innovative companies, citing Delaware's shortcomings and the state's efforts to attract businesses with favorable laws.
Impact of 'Dexit' Trend: Musk's move to Texas, known as the "Dexit" trend, has influenced other companies, including Dropbox and TripAdvisor, to also leave Delaware for more business-friendly environments.
Delaware's Corporate Dominance: Despite the departures, Delaware remains a leading incorporation state due to its flexible corporate laws and specialized court system, although it faces increasing competition from Texas.
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Analyst Views on TSLA
Wall Street analysts forecast TSLA stock price to fall
30 Analyst Rating
12 Buy
11 Hold
7 Sell
Hold
Current: 417.070
Low
25.28
Averages
401.93
High
600.00
Current: 417.070
Low
25.28
Averages
401.93
High
600.00
About TSLA
Tesla, Inc. designs, develops, manufactures, sells and leases high-performance fully electric vehicles and energy generation and storage systems, and offers services related to its products. Its segments include automotive, and energy generation and storage. The automotive segment includes the design, development, manufacturing, sales and leasing of high-performance fully electric vehicles, and sales of automotive regulatory credits. It also includes sales of used vehicles, non-warranty maintenance services and collisions, part sales, paid supercharging, insurance services revenue and retail merchandise sales. The energy generation and storage segment include the design, manufacture, installation, sales and leasing of solar energy generation and energy storage products and related services and sales of solar energy systems incentives. Its consumer vehicles include the Model 3, Y, S, X and Cybertruck. Its lithium-ion battery energy storage products include Powerwall and Megapack.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Technical Foundation and Market Positioning: FSD is built on Tesla's Autopilot foundation, incorporating features like adaptive cruise control and lane-keeping; although classified as a Level 2 driver-assistance system, its long-term goal is to achieve higher levels of autonomy, enhancing competitive positioning in the market.
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- Market Challenges Intensify: Despite the positive outlook, Tesla's sales fell by 3% in 2025, marking its first annual decline, while earnings plummeted 47% year-over-year to $1.08 per share, highlighting risks from weakened consumer demand and brand damage.
- Valuation Risks: With a price-to-earnings ratio of 393, significantly above the tech sector average of 43, investors face high risks buying Tesla stock at current prices, suggesting caution until the company's financial situation improves.
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See More
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- Unique Market Positioning: Broadcom's XPUs are custom chips tailored for specific purposes, differentiating them from Nvidia and AMD's general-purpose GPUs, allowing the company to carve out a niche in the competitive AI market and enhancing its strategic positioning for future growth.
See More
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- Surge in Capital Expenditure: Tesla plans to invest over $20 billion in capital spending by 2026, more than double last year's expenditure, highlighting its ambitious vision for the electric vehicle market, especially as competitors scale back their investments.
- Diversified Factory Investments: Among the six new factories, three are dedicated to electric vehicle production, including a lithium refinery and a low-cost lithium iron phosphate battery factory, directly supporting EV growth and strengthening Tesla's market position.
- Autonomous Driving Vision: CEO Elon Musk clearly stated in the recent earnings call that only 1% to 5% of miles driven will be by humans in the future, indicating Tesla's leadership in autonomous driving, with expectations that Cybercab production will surpass all other models combined.
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