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.
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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.
