Tesla is set to announce its quarterly earnings on October 22, 2025. Here’s an overview of what investors should know before the release.
Earnings Expectations
Analysts estimate that Tesla will report an earnings per share (EPS) of $0.50. Tesla bulls hope the company will not only beat this estimate but also provide positive guidance for the next quarter. New investors should note that it’s not always the earnings beat or miss that affects the stock price, but rather the guidance or forecast.
Performance in Previous Earnings
In the last quarter, Tesla reported an EPS beat of $0.05, resulting in an 8.2% drop in the share price the following day. Here’s a look at Tesla’s past performance and the resulting price change:
| Quarter | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 |
|---|---|---|---|---|
| EPS Estimate | 0.35 | 0.41 | 0.77 | 0.58 |
| EPS Actual | 0.40 | 0.27 | 0.73 | 0.72 |
| Price Change % | -8.00 | 5.00 | 3.00 | 22.00 |
Tracking Tesla’s Stock Performance
As of October 20, Tesla’s shares were trading at $447.43. Over the last 52-week period, shares have risen 107.91%. Given these positive returns, long-term shareholders are likely bullish going into this earnings release.
Analysts’ Perspectives on Tesla
For investors, understanding market sentiments and expectations is vital. Analysts have given Tesla a total of 26 ratings, with a consensus rating of Outperform. The average one-year price target is $407.73, indicating a potential 8.87% downside.
Comparing Ratings Among Industry Peers
Here’s a comparison of analyst ratings and average 1-year price targets for Ferrari, General Motors, and Ford Motor:
- Ferrari: Buy trajectory, average 1-year price target of $536.40, suggesting a potential 19.88% upside.
- General Motors: Outperform trajectory, average 1-year price target of $64.75, suggesting a potential 85.53% downside.
- Ford Motor: Neutral trajectory, average 1-year price target of $11.25, suggesting a potential 97.49% downside.
Summary of Peers Analysis
Here’s a summary of key metrics for Tesla, Ferrari, General Motors, and Ford Motor:
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Tesla | Outperform | -11.78% | $3.88B | 1.54% |
| Ferrari | Buy | 4.41% | $940.96M | 11.93% |
| General Motors | Outperform | -1.76% | $4.27B | 2.85% |
| Ford Motor | Neutral | 4.97% | $3.22B | -0.08% |
Key Takeaway: Tesla ranks at the bottom for Revenue Growth and Gross Profit, but ranks at the top for Return on Equity.
Delving into Tesla’s Background
Tesla is a vertically integrated battery electric vehicle automaker and developer of autonomous driving software. The company has multiple vehicles in its fleet, including luxury and midsize sedans, crossover SUVs, a light truck, and a semi-truck. Tesla plans to begin selling more affordable vehicles, a sports car, and offer a robotaxi service.
Financial Insights: Tesla
Market Capitalization Analysis
Tesla has an elevated market capitalization, showcasing substantial size and market acknowledgment.
Revenue Growth
Tesla’s revenue growth over the last 3 months has faced challenges, with a decline of approximately -11.78%.
Net Margin
Tesla’s net margin surpasses industry standards, highlighting the company’s exceptional financial performance, with an impressive 5.21% net margin.
Return on Equity (ROE)
Tesla’s financial strength is reflected in its exceptional ROE, which exceeds industry averages, with a remarkable 1.54% ROE.
Return on Assets (ROA)
Tesla’s ROA surpasses industry standards, highlighting the company’s exceptional financial performance, with an impressive 0.92% ROA.
Debt Management
The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.17.