Tesla ( TSLA -1.04%) is already one of the largest electric car companies in the world. But next year, its entire business model may be transformed. That transformation will be driven by a new business venture that some experts believe could add $1 trillion to $2 trillion to Tesla's valuation by the end of 2026.

The unveiling of more affordable but inferior products from Tesla's aging lineup provides the latest and starkest contrast between what Musk delivers and what he promises.

Tesla posts strong EV sales as consumers rushed to cash in on a tax credit that expired Sept. 30. Musk becomes first ever person worth $500 billion.

Tesla stock is wildly expensive right now (which I'll discuss further in a moment), so it's clear investors aren't valuing the company based on its EV sales alone. Instead, they are looking several years into the future, and trying to estimate how valuable products like the Cybercab and Optimus could be.

The product tease comes after another positive development for the electric vehicle maker. On Oct. 2, Tesla reported that EV deliveries in the three months through September had jumped by 7% over the same period last year and beat Wall Street expectations. The stock initially gained about 2% on the news before falling to trade down roughly 0.5%.

Tesla offers leases on Powerwall and solar connections in the US with low monthly payments and maintenance coverage.

Tesla remains significantly overvalued despite a recent share price rebound, continuing to underperform the S&P 500 year-to-date. Learn more about TSLA stock here.

Wall Street is taking a pause on Thursday as U.S. stocks and even the price of gold pull back from record highs following their torrid runs. Gold also fell following its stellar rally this year, while Treasury yields held relatively steady in the bond market.

Tesla is set to finally reveal its cheaper EV today, a stripped down version of its best-selling Model Y SUV.