Tesla Inc. (NASDAQ:TSLA) analysts see near-term risks and pressure for the stock after mixed third-quarter results and new updates on product launch timelines.
The Tesla Analysts: Needham analyst Chris Pierce reiterated a Hold rating on Tesla with no price target.
Cantor Fitzgerald analyst Andres Sheppard reiterated an Overweight rating and raised the price target to $510 from $355.
Goldman Sachs analyst Mark Delaney maintained a Neutral rating and lowered the price target from $425 to $400.
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Needham on TSLA: Tesla's third-quarter financial results provided increased confidence in new businesses, Pierce said in a new investor note.
"TSLA continues to demonstrate operational discipline and long-term leadership across electrification and energy storage, but we see the stock as fairly valued against our already aggressive longer term FSD and Robotics estimates," Pierce said.
The analyst noted that Tesla’s scaling of vehicle production shows confidence in its FSD platform, but concerns remain with safety drivers still being used.
Pierce said Tesla bears can show that the company has aggressive assumptions and valuation remains high.
"We see limited valuation support at current levels, raising the execution bar for a company that has overpromised vs. overdelivered in recent years."
The analyst's 2030 and 2035 estimates show that 50% of Tesla's gross profit comes from businesses like rideshare and robotics that have no current gross profit.
Pierce estimates that rideshare will hit 36% of gross profit dollars and robotics will hit 18% in 2035. Automotive gross profit dollars are estimated to decline from 69% now to 25% in 2035.
Cantor Fitzgerald on TSLA: Highlights from the third quarter include beating revenue estimates, gross margins and free cash flow, Sheppard said in a new investor note.
"We are encouraged by the recent introduction of lower-priced vehicles, which we see as an opportunistic way for TSLA to boost customer demand and potentially regain some EV market share," he said.
The analyst also highlighted the company's energy storage growth, which had several records in the quarter.
Sheppard said the broader FSD rollout in China and the initial launch in Europe are "material catalysts" for the company's margins.
The analyst said the Cybercab, Tesla Semi and Megapack 3 on track for 2026 volume production is "significant."
"We remain bullish on TSLA over the medium to long term, and we continue to see meaningful future upside from Energy Storage & Deployment, FSD, Robotaxis/Cybercab, Semis and Optimus Bots."
Sheppard added that investors should wait for a pullback to get a better entry into Tesla stock, as shares trade near all-time highs.
Goldman Sachs on TSLA: A debate on the long-term potential of profits from AI-related projects from Tesla could continue, Delaney said after Q3 earnings.
"We think the 3Q report was mixed to slightly negative relative to some focus areas for investors," he said in a new investor note.
The analyst said automotive gross margins, earnings per share and the Optimus 3 timeline were likely below investor expectations.
"We expect a potentially volatile event path over the near to medium term for the stock."
In the long term, the analyst said Tesla can grow its earnings per share with larger contributions from robotics and autonomous vehicles.
TSLA Price Action: Tesla stock is down 3.4% to $424.00 on Thursday, trading within a 52-week range of $214.25 to $488.54. Tesla shares are up 11.8% year-to-date in 2025.
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