Tesla Shares Climb Nearly 5% After New Roadster Demonstrates Short-Burst Flight Technology Fiona Craig Fri, October 16, 2026 at 6:13 AM EDT 5 min read TSLA -1.29% SPCX -2.33% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
Tesla (NASDAQ:TSLA) shares rose nearly 5% in premarket trading on Friday, 16 October 2026, following the unveiling of its redesigned Roadster electric sports car, which demonstrated limited flight capabilities using compressed-air propulsion technology.
The vehicle was presented during a live event on Thursday evening at SpaceX's testing facility in McGregor, Texas, where Tesla demonstrated several features involving short airborne movements, rapid acceleration and specialised handling capabilities.
Chief Executive Officer Elon Musk said production of the long-awaited Roadster was expected to begin in 2028, adding "actually" when referring to the timeline.
The announcement follows years of delays since Tesla first introduced plans for a second-generation Roadster in November 2017.
During the presentation, Tesla demonstrated the Roadster's ability to perform controlled airborne movements using a system of compressed-air thrusters.
In one demonstration, the vehicle approached a curved ramp at a controlled speed before launching into the air and completing a full inversion.
The car then used its air-based propulsion system to adjust its orientation and land on all four wheels.
Tesla also demonstrated what it describes as short-burst flight, with the Roadster jumping and briefly hovering over several parked vehicles and a semitruck.
The demonstration was conducted using remote operation rather than a driver inside the vehicle.
The technology is designed to provide short periods of thrust rather than the sustained flight associated with conventional aircraft.
The new Roadster incorporates air-based rocket boosters that generate thrust using cold, compressed gas rather than combustion.
The technology is related to propulsion systems used by SpaceX in certain spacecraft applications.
According to the presentation, the vehicle carries approximately 260 kilograms of compressed air.
An onboard compressor is designed to replenish the air supply automatically, allowing the system to recharge without requiring manual operation.
The compressed-air system supports several of the Roadster's demonstrated capabilities, including airborne manoeuvring and rapid acceleration.
Tesla also said the vehicle can generate suction to improve handling and is capable of travelling on vertical surfaces.
These features were presented as part of the company's effort to extend the performance capabilities of electric sports cars beyond conventional driving functions.
Tesla demonstrated acceleration from 0 to 60 miles per hour in 0.81 seconds during the event.
The company said the result was achieved through a combination of electric motor power and compressed-air propulsion.
Musk indicated that further improvements could be possible before production begins.
"We anticipate being able to do better than that," Musk said.
He also stated that the Roadster would be capable of reaching a maximum speed of Mach 0.5, equivalent to approximately half the speed of sound.
The claimed performance figures were presented during the demonstration and have not been established as independently verified production-vehicle specifications.
Musk also addressed the vehicle's intended design priorities, describing the Roadster as "not necessarily a safety optimized car" while emphasising that it would be an "actual car that's on roads."
The comments indicate that Tesla intends the Roadster to remain a road-going vehicle despite its unusual propulsion and handling features.
Tesla first announced its second-generation Roadster in November 2017, presenting it as a high-performance electric sports car.
At the time, the company promoted a projected acceleration time of 1.9 seconds from 0 to 60 miles per hour and a starting price of $200,000.
However, the vehicle's development and unveiling were repeatedly delayed.
The October 2026 presentation marks a further stage in the programme, with Musk now targeting the start of production in 2028.
That would place the beginning of manufacturing more than a decade after the original announcement.
Tesla did not provide updated pricing information or detailed production-volume forecasts in the reported presentation.
The redesigned Roadster is expected to compete in the high-performance, ultra-luxury electric vehicle segment.
Potential competitors include Ferrari's Luce and forthcoming electric models from Jaguar and Rolls-Royce.
Tesla's emphasis on acceleration, compressed-air propulsion and limited flight capabilities distinguishes the Roadster's proposed features from those of conventional electric sports cars.
However, the commercial appeal of these technologies will depend on their eventual implementation, pricing and availability.
The company has not yet established a confirmed customer delivery schedule for the new model.
The Roadster presentation comes as Tesla continues to address challenges in its core automotive operations.
The company has experienced declining vehicle sales over the past two years, with heightened competition in China and controversy surrounding Musk's political activities contributing to pressure on demand since 2024, according to the report.
At the same time, Musk has increasingly highlighted artificial intelligence and robotics as important areas of future growth.
Tesla has also discontinued production of its Model S and Model X vehicles as part of plans to convert their manufacturing lines for production of the Optimus humanoid robot.
These developments reflect the company's efforts to expand beyond conventional electric vehicle manufacturing.
The Roadster nevertheless represents a continued investment in high-performance automotive technology.
Tesla's shares gained nearly 5% in premarket trading following the presentation, indicating a positive initial market response to the new vehicle demonstration.
The unveiling provided additional details about the Roadster's proposed capabilities, including compressed-air propulsion, short-burst flight and acceleration from 0 to 60 mph in 0.81 seconds.
However, production remains scheduled for 2028, and several performance claims have yet to be demonstrated in commercially available vehicles.
Investors will be monitoring whether Tesla can meet its revised production timetable while continuing to address competition in its automotive business and expand its activities in artificial intelligence and robotics.
