Tesla, Inc. (NASDAQ:TSLA) has had a rather pleasant week, gaining some steam as it prepares to reveal its Q1 2026 numbers on Wednesday after the market close. The company’s share price is up close to 15% over the past few days.
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Forget margin or options. Here's how the pros trade TSLAThat’s been a welcome change for Tesla investors, who have seen the value of their shares decline during the first part of the year. As is often the case, some of the recent excitement can be attributed to CEO Elon Musk and news surrounding the company’s technological advances.
Musk posted on social media an image of AI5, the company’s latest AI chip, congratulating the Tesla team on finalizing the design. The CEO has shared that the chip will first be used with the company’s Optimus robots and supercomputer clusters.
It’s no secret that Tesla bulls are betting on the company’s technological supremacy to power its high-flying valuation. That’s become even more the case as EV sales have been slowing.
Indeed, the company’s EV deliveries of 358,023 in Q1 2026 represented a slowdown from the 418,227 deliveries in Q4 2025. Top investor James Foord notes that the “positive momentum” of the share price reflects these hopes.
“Tesla has its sights set on much loftier goals, and so do investors,” states the 5-star investor, who is among the top 2% of stock pros covered by TipRanks.
Beyond the AI5 developments, Foord points to a number of catalysts that he believes are responsible for the recent uptick, including the start of volume production of the Tesla Semi truck in Nevada. Located next to the company’s existing Giga Nevada battery factory, the Tesla Semi could become a “very meaningful source of income,” according to Foord.
Another bright spot Foord highlights is the potential for full self-driving in Europe, following the Dutch regulators’ clearance for the use of this software with human supervision on highways and city streets. The investor posits that this “unlocks a massive monetization lever.”
The upcoming earnings call will therefore be another test of Musk’s ability to “thread the needle” between current financials and the company’s upcoming ambitions.
While he admits to being tempted to buy TSLA, Foord isn’t fully sold. He cites concerns over cash burn and the deterioration of Tesla’s brand image, among other worries, preventing a more bullish take.
“My skepticism about Elon Musk and Tesla remains,” concludes Foord, who rates TSLA a Sell. (To watch Foord’s track record, watch here)
Wall Street presents a mixed picture. With 13 Buys, 11 Holds, and 6 Sells, TSLA carries a consensus Hold (i.e. Neutral) rating. Its 12-month average price target of $401.13 points to minimal movement up ahead. (See TSLA stock forecast)
Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.