Tesla (TSLA) is reportedly getting a notable supply boost ahead of its upcoming earnings, as Samsung (SSNLF) increases shipments of key DRAM components. The move comes at a time when investors are closely watching Tesla’s production trends, cost structure, and AI-driven hardware demand going into the earnings report. TSLA stock is up by 1% as of this writing on Wednesday.
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Trade TSLA with leverageNotably, Tesla is set to report its Q1 2026 earnings today (April 22) after market close. Wall Street expects earnings per share (EPS) of $0.35, representing about 33% year-over-year growth. Revenue is projected to rise more than 15% to $22.3 billion compared to the same period last year.
Samsung Boosts DRAM Output for Tesla
According to South Korean publication Edaily, Samsung’s monthly 8GB GDDR6 DRAM supply to Tesla jumped about fourfold in April compared to first-quarter levels, as demand for advanced in-vehicle memory systems continues to rise. To meet this rising demand, Samsung has expanded production at its Hwaseong campus. The chips are mainly used in Tesla’s infotainment systems and autonomous driving technology.
Meanwhile, Tesla has been facing a tighter availability of memory chips for its vehicles. As a result, the EV maker has reportedly been consistently requesting higher DRAM supply since the first quarter of this yearA source familiar with Samsung said that in January, Tesla asked the chipmaker to “increase supply by more than five times the planned volume.”
This development comes on top of a broader partnership between the two companies, including a reported $16.5 billion multiyear chip supply agreement signed in July 2025.
Tesla’s Demand Highlights Global Chip Supply Strain
Tesla’s latest request for increased production highlights how even major Big Tech companies are facing tight memory chip supply. Since mid-2025, global supply has tightened due to strong demand from the AI industry. As DRAM shortages deepen and prices rise, many companies are now taking early steps to secure supply.
Despite tight global memory conditions, Samsung’s decision to expand DRAM supply to Tesla highlights EV maker’s growing importance as a key strategic customer. Looking ahead, Samsung plans to begin producing advanced AI chips for Tesla at its Texas foundry in late 2026.
What Is the Target Price for Tesla Stock?
On Wall Street, analysts have maintained a neutral stance on Tesla stock. According to TipRanks, TSLA stock has received a Hold consensus rating, with 13 Buys, 11 Holds, and six Sells assigned in the last three months. The average Tesla stock price target is $403.13, which implies an upside of 4.3%.
