Tesla Inc. (NASDAQ: TSLA) is poised to unveil its third-quarter results soon, prompting analysts to share their insights and forecasts. With a backdrop of market expectations, leading analysts have differing opinions about the company’s performance.
Analyst Expectations for Q3 Results
According to Troy Teslike, a prominent Tesla analyst, the company is anticipated to exceed analyst consensus across key financial metrics. Teslike projects a Non-GAAP earnings per share of $0.66, surpassing the consensus estimate of $0.59 per share. Additionally, he estimates Tesla will generate revenues of $28.4 billion, exceeding the analyst consensus of $27.3 billion.
- Earnings per Share (EPS): $0.66 (estimated) vs. $0.59 (consensus)
- Revenue: $28.4 billion (estimated) vs. $27.3 billion (consensus)
However, Teslike’s forecast for gross margins is slightly below average, with an expectation of 17.2%, compared to a higher consensus of 17.3%.
Concerns Over Market Optimism
Morningstar’s Senior Equity Analyst, Seth Goldstein, expressed caution regarding the current market enthusiasm. He maintains a sell rating on Tesla stock, suggesting that the excitement surrounding robotaxi technology may be premature. He indicated that a full robotaxi launch could remain several years away, pending the evolution of Tesla’s autonomous vehicle systems.
Goldstein emphasized the challenges surrounding safety regulations and the ongoing testing of autonomous features. He believes the stock’s current valuation assumes Tesla will outperform competitors like Waymo and gain substantial market share from services like Uber and Lyft.
Positive Long-term Outlook
Despite his reservations, Goldstein also acknowledged positive long-term developments at Tesla. He mentioned the potential impact of projects like the Optimus humanoid robots and advancements in battery technology.
Bold Predictions from Tom Nash
Tom Nash, a well-known Tesla bull, has made a notable prediction regarding Tesla’s stock trajectory. He believes the stock could rise significantly, potentially reaching $900 per share within 6 to 12 months. In a recent video, Nash emphasized the strength of Tesla’s growth drivers, including advancements in AI, full self-driving (FSD), and the energy sector.
Nash asserts that Tesla is at the forefront of major trends that will shape the industry over the next decade, supporting his optimistic outlook.
Current Stock Performance
As of the last trading session, Tesla shares experienced a decline of 1.08%, closing at $442.60. However, early trading indicated a positive adjustment, with shares rising by 0.32% ahead of the expected quarterly earnings announcement.
In summary, Tesla’s upcoming third-quarter results have analysts divided. While some expect the company to beat estimates, others urge caution. Investors are keenly watching these developments as they could greatly influence Tesla’s stock performance.
