logo
‘Don't Make a Move Yet,' Analysts Maintain a Hold on Tesla Stock (TSLA) Ahead of Q2 Results

‘Don't Make a Move Yet,' Analysts Maintain a Hold on Tesla Stock (TSLA) Ahead of Q2 Results

Tesla (TSLA) received Hold ratings from a couple of Wall Street analysts, as they weigh the company's fundamentals against its long-term potential. While the company's new model launches offer upside, analysts remain cautious about margin pressure and a softer volume outlook.
Elevate Your Investing Strategy:
Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Investors will be closely watching for updates during Tesla's Q2 earnings call, scheduled for release on July 23.
Barclays Analyst Warns on TSLA's Near-Term Outlook
Barclays analyst Dan Levy reiterated a Hold rating with a $275 price target, citing concerns over weakening core performance. Levy noted that while Tesla's Q2 auto margins (excluding credits) may improve sequentially, they remain below historical levels.
Also, he forecasts a 10% decline in vehicle volume for 2025. Moreover, Levy noted that earnings estimates for 2026 have fallen sharply, from over $3.20 to just $1.84.
He warned that weak margins or negative commentary could hurt TSLA stock, though the upcoming earnings call might offer a boost if CEO Elon Musk shares updates on Tesla's robotaxi and autonomous vehicle plans. Levy also said the company's low-cost model may be delayed to late 2025, which could be seen as a setback.
Goldman Sachs Sees New Model Y Boosting Tesla's Reach
Similarly, Goldman Sachs analyst Mark Delaney maintained a Hold rating with a $285 price target, focusing on Tesla's product roadmap. Delaney said TSLA's newly announced Model Y L, a new variant of the Model Y, could help it compete better in the three-row SUV market. Tesla plans to launch the Y L in China this fall, and the analyst sees this as a small positive for the company.
Delaney added that investors did not expect big changes in Tesla's 2025 models. But the Model Y L stands out more and could help the company reach more customers and boost sales.
Is TSLA Stock a Buy?
Turning to Wall Street, TSLA stock has a Hold consensus rating based on 13 Buys, 13 Holds, and eight Sells assigned in the last three months. At $298.97, the average Tesla price target implies a 6.21% downside potential. The stock has declined 24.2% over the past six months.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Elon Musk fans flock to new Tesla Diner: See the opening day photos
Elon Musk fans flock to new Tesla Diner: See the opening day photos

USA Today

time6 minutes ago

  • USA Today

Elon Musk fans flock to new Tesla Diner: See the opening day photos

Billionaire tech entrepreneur Elon Musk, who once called himself the "first buddy" of President Donald Trump, opened a futuristic restaurant called Tesla Diner and Drive-In in Hollywood, California, this week as fans waited for hours to see the intersection of technology and hospitality. Located in West Hollywood, the Tesla Diner is open 24 hours a day and features 80 charging stations. Customers can also watch movies on two 66-foot screens while an Optimus robot serves popcorn. Eric Greenspan, a Los Angeles-based chef, created the menu for the establishment, according to the Los Angeles Times. With a focus on classic comfort foods, the options include fried chicken and waffles, grilled cheese, tuna melts, alongside themed items like the "Tesla Burger" with "Electric Sauce." All-day breakfast options are also available, including avocado toast, biscuits and gravy, and house-made cinnamon rolls. According to LA Eater, diners can also order sides like wagyu beef chili cups, a market salad, and "epic" bacon. Musk first proposed the idea of combining a futuristic diner with a Tesla supercharger station back in 2018, tweeting, "Gonna put an old school drive-in, roller skates & rock restaurant at one of the new Tesla Supercharger locations in LA." Now that the idea has come to life, Musk said he hopes to establish more futuristic diners in major cities around the globe."If our retro-futuristic diner turns out well, which I think it will," tweeted Musk on July 19, "@Tesla will establish these in major cities around the world, as well as at Supercharger sites on long-distance routes."

Popcorn bots and ‘Electric Sauce': What to know about Elon Musk's Tesla Diner
Popcorn bots and ‘Electric Sauce': What to know about Elon Musk's Tesla Diner

Fast Company

time6 minutes ago

  • Fast Company

Popcorn bots and ‘Electric Sauce': What to know about Elon Musk's Tesla Diner

Elon Musk's long-awaited diner and drive-in opened Monday in Hollywood, California. And, even though the venue didn't open until 4:20 pm, customers were lined up early to get in. The Tesla Diner & Drive-In is many things in one. The venue includes a diner, a drive-in movie theatre, as well as a charging station. It also manages to be both futuristic and retro, and it is definitely over the top. In addition to charging Teslas, customers can enjoy hamburgers, milkshakes, and other classic diner food which comes in Cybertruck-like boxes. Two 45-foot LED movie screens, which sync with Tesla speakers, hope to attract movie-goers to the scene. In typical Musk-fashion, the venue looks a bit like a spaceship — perhaps a hint that the experience aims to be out of this world. There is, of course, tons of Tesla-branded merchandise on site, as well as an Optimus robot. On Monday, a Cybertruck wrapped with DOGE vehicle wrap was spotted parked at a charging station. Just before the opening, Musk was already projecting the project to be a huge success. 'If our retro-futuristic diner turns out well, which I think it will, @Tesla will establish these in major cities around the world, as well as at Supercharger sites on long distance routes,' the CEO posted on X. Burgers are hot, but Tesla sales—and Musk's image—are cooling While the lines of excited customers seemed to imply excitement over the opening, it's tough to miss that it comes amid a fair amount of public scrutiny of the Tesla CEO. Musk's work with DOGE, an organization that facilitated mass layoffs and gutted funding for vital organizations like Medicare and Medicaid, the National Institute of Health, national parks, and more, has made him an even more polarizing figure than he already was. Subscribe to the Daily newsletter. Fast Company's trending stories delivered to you every day Privacy Policy | Fast Company Newsletters More recently, Musk fell out of favor with President Trump, resulting in the head of DOGE being ousted from his government role. A feud played out publicly, with the two men posting pointed attacks on social media. Musk blasted Trump's 'big, beautiful bill,' and just weeks ago, Trump said he was even mulling potentially deporting the Tesla CEO. And, while Elon Musk himself has been the subject of tons of scrutiny over his work in DOGE, the role may have impacted the Tesla brand, too. Tesla sales have slumped this year, too. From April to June, sales fell to 384,122 — a more than 13% drop from 443,956 in the same period last year. Musk has acknowledged that sales have slumped but brushed off bigger worries that the brand is doomed. 'The stock wouldn't be trading near all-time highs if things weren't in good shape,' he said while speaking at the Qatar Economic Forum in May. Still, given the Hollywood location, the showiness of the venue, and the multi-purposed nature of the facility, consumers may just put aside their distaste for the CEO long enough to enjoy it. Burgers, fries, and movies are not hard sells, after all. The lines outside of Musk's new venue certainly show that people are excited. Still, it's hard to say whether the enthusiasm will hold. In April, Wedbush Securities analyst Dan Ives slashed Tesla projections and noted at the time that Musk's government work had done irreversible damage to his brand, adding that Teslas are not just a car, but have 'become a political symbol globally.'

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store