--- title: "Morgan Stanley Weighs In on Tesla Stock as Insurer Puts Money Behind FSD Safety" description: "Morgan Stanley analyst Andrew Percoco commented on Tesla's stock following Lemonade's introduction of a new insurance product offering a 50% discount for using Tesla's Full Self-Driving (FSD) feature." type: "news" locale: "en" url: "https://longbridge.com/en/news/273776040.md" published_at: "2026-01-27T02:28:13.000Z" --- # Morgan Stanley Weighs In on Tesla Stock as Insurer Puts Money Behind FSD Safety > Morgan Stanley analyst Andrew Percoco commented on Tesla's stock following Lemonade's introduction of a new insurance product offering a 50% discount for using Tesla's Full Self-Driving (FSD) feature. Percoco views this as a significant validation of Tesla's FSD technology, suggesting it could enhance adoption and lower insurance costs. He believes that as FSD usage increases, it will lead to improved safety and performance, benefiting Tesla's market position. Despite this positive outlook, Percoco maintains a Neutral rating on Tesla with a price target of $425, indicating a potential decline in stock value. **Tesla (****NASDAQ:TSLA****)** has regularly stressed that its Autopilot and FSD (Supervised) systems help prevent accidents, and now it seems a third party might have independently confirmed that claim. ### Claim 50% Off TipRanks Premium - Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions - Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential Last week, U.S. insurer Lemonade introduced a new "Autonomous Car" insurance product that provides an impressive 50% discount on premiums for every mile driven with Tesla's FSD (Supervised) engaged. This is a development that should not be overlooked, says Morgan Stanley's Andrew Percoco, an analyst ranked among the top 3% on Wall Street. "Lemonade's newly announced autonomous car insurance product represents a notable step in legitimizing autonomous driving, and in particular, Tesla's FSD (full self-driving) technology, in the eyes of the insurance industry," the 5-star analyst said. Percoco thinks Lemonade's approach points to increasing confidence in the quality and relevance of data generated by Tesla's fleet, placing greater weight on observed real-world driving outcomes when assessing safety, rather than depending exclusively on theoretical models or regulatory classifications. Beyond direct cost benefits, the design of the policy might also support broader FSD usage and adoption. By lowering insurance premiums, it creates an ongoing economic incentive for drivers to use FSD more frequently, further "reinforcing Tesla's overall value proposition." "Over time," Percoco expounded, "as FSD adoption accelerates we expect a positive feedback loop, whereby miles driven correlates to improved performance and safety, and further reductions in insurance costs." In a broader context, the analyst believes Lemonade's announcement signals a future where insurance could serve as "one of the clearest market-based validators of autonomous driving progress." As insurers begin to factor increasingly detailed driving data into their pricing models, technologies that clearly lower risk are likely to receive recognition more quickly and with greater transparency. "For Tesla," Percoco added, "this marks another step toward external recognition that FSD is moving from an experimental feature to an economically relevant safety system." Percoco reckons that there are around 1 million active Tesla FSD subscribers on US roads, representing roughly 1 in every 300 vehicles. This growing population generates a unique, high-quality dataset that the insurance industry can leverage to more accurately price auto P&C risk. Autonomous driving is expected to meet a significantly higher safety standard than human driving, and until now, the limited availability of safety data has hindered the insurance industry's ability to validate the technology. "In our opinion," the analyst summed up, "as insurance companies begin to price autonomous driving risk anywhere near the price of human driving risk we believe this creates a strong tailwind for autonomous propagation into the market." However, while Percoco highlights the announcement's importance, it is not enough to shift his overall TSLA stance. The analyst remains on the sidelines with an Equal-weight (i.e., Neutral) rating, while his $425 price target points toward a 12-month decline of ~2%. (To watch Percoco's track record, click here) The Street's general take is a similar one; based on a mix of 10 Buys, 8 Holds and 7 Sells, the stock receives a Hold consensus rating. At $398.38, the average target suggests the stock is overvalued by 8.5%. (See **TSLA stock forecast**) ### Related Stocks - [LMNX.US - Defiance Daily Target 2X Long LMND ETF](https://longbridge.com/en/quote/LMNX.US.md) - [LMND.US - Lemonade](https://longbridge.com/en/quote/LMND.US.md) - [TSLA.US - Tesla](https://longbridge.com/en/quote/TSLA.US.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | 馬斯克情人節 “揮刀自宮”！為了一己私利，還是造福全人類？ | 馬斯克宣佈特斯拉將在情人節停售 FSD，改為 199 美元/月的會員模式，永久使用權需在此之前支付 8000 美元。特斯拉 AI5 芯片設計接近完成，算力提升 5 倍，目標是降低成本和功耗，支持未來的無人駕駛出租車和機器人。特斯拉還計劃建設 | [Link](https://longbridge.com/en/news/275680196.md) | | Ross Gerber 表示，在自動駕駛出租車事故頻發的情況下，情況似乎沒有好轉，並稱特斯拉可能需要進行 “硬件調整” | 投資者羅斯·格伯（Ross Gerber）認為，特斯拉的全自動駕駛（FSD）技術由於最近涉及其機器人出租車的事故，需要進行硬件升級。他在社交媒體上表達了擔憂，稱 FSD 沒有改善，並建議特斯拉可能需要考慮引入激光雷達傳感器，類似於競爭對手。 | [Link](https://longbridge.com/en/news/276202408.md) | | 特斯拉取消了一次性購買全自動駕駛（FSD）功能的選項 | 特斯拉停止一次性購買全自動駕駛功能（FSD） | [Link](https://longbridge.com/en/news/276071127.md) | | 特斯拉僅留一個漏洞以便直接購買完全自動駕駛功能 | 特斯拉已將其全自動駕駛（FSD）套件轉變為僅訂閲模式，取消了美國在線設計工作室中的直接購買選項。然而，購買 Model S、Model X 或 Cyberbeast 的買家仍可以通過豪華套餐直接獲得 FSD，該套餐包括額外的福利。訂閲費用保 | [Link](https://longbridge.com/en/news/276071886.md) | | 特斯拉車主稱全自動駕駛（FSD）試圖駛入湖中，並表示該問題 “可重複出現” | 一位特斯拉車主報告稱，全自動駕駛（FSD）系統試圖將他的車開入湖中，這引發了人們對其能力的擔憂。Daniel Milligan 在社交媒體上分享了顯示該事件的視頻，他聲稱這一情況是可重複的。這引發了質疑，因為美國國家公路交通安全管理局（NH | [Link](https://longbridge.com/en/news/276108604.md) | --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.