Analysts Predict Near-Term Risks for Tesla Following Q3 Earnings

Tesla Inc. has faced mixed third-quarter results and new updates on product launch timelines, prompting analysts to weigh in on the company’s near-term risks and pressure on the stock.

Analyst Ratings and Price Targets

Several analysts have provided their assessments of Tesla’s performance:

  • Needham: Analyst Chris Pierce reiterated a Hold rating on Tesla with no price target, citing increased confidence in new businesses but concerns about valuation and safety drivers.
  • Cantor Fitzgerald: Analyst Andres Sheppard reiterated an Overweight rating and raised the price target to $510 from $355, highlighting the company’s energy storage growth and the broader FSD rollout in China and Europe.
  • Goldman Sachs: Analyst Mark Delaney maintained a Neutral rating and lowered the price target from $425 to $400, citing a mixed Q3 report and potentially volatile event path over the near to medium term.

Analysis of Tesla’s Performance

Analysts have provided insights into Tesla’s performance, including:

  • Operational Discipline: Tesla has demonstrated operational discipline and long-term leadership across electrification and energy storage.
  • Vehicle Production: The company’s scaling of vehicle production shows confidence in its FSD platform, but concerns remain with safety drivers still being used.
  • Valuation: Analysts have expressed concerns about Tesla’s valuation, with some arguing that the company has aggressive assumptions and limited valuation support at current levels.

Future Prospects

Despite near-term risks, analysts remain bullish on Tesla’s medium to long-term prospects, citing:

  • Energy Storage & Deployment: Significant growth opportunities in energy storage and deployment.
  • FSD and Robotaxis/Cybercab: Material catalysts for the company’s margins and growth.
  • Semis and Optimus Bots: Opportunities for significant volume production and growth.

Stock Performance

Tesla’s stock has been affected by the mixed Q3 results, with shares trading down 3.4% to $424.00 on Thursday. The stock is up 11.8% year-to-date in 2025, with a 52-week range of $214.25 to $488.54.

Conclusion

Tesla Inc. faces near-term risks and pressure on the stock following mixed Q3 results and new updates on product launch timelines. However, analysts remain bullish on the company’s medium to long-term prospects, citing significant growth opportunities in energy storage, FSD, and robotics. Investors should wait for a pullback to get a better entry into Tesla stock, as shares trade near all-time highs.