Tesla is set to report its second-quarter earnings, and investors are eagerly awaiting the results. The company’s shares are trading in a narrow range, with a bearish technical setup and mixed rankings keeping traders on alert.
Earnings Preview and History
Tesla is scheduled to report its second-quarter earnings, with analysts estimating EPS of 44 cents and revenue of $25.24 billion. In the prior quarter, Tesla reported EPS of 41 cents, beating the consensus estimate by 36.67%, and revenue of $22.39 billion, exceeding the consensus estimate.
What to Watch
Investors will be closely watching the following key areas:
- Automotive gross margin, as Tesla’s record 480,126 vehicle deliveries will only be beneficial if aggressive pricing hasn’t eaten into profitability
- Commentary on the Cybercab rollout, Full Self-Driving adoption, and Optimus production timing, given Tesla’s valuation increasingly hinges on these initiatives
Technical Analysis
At $377.00, Tesla is trading below its key moving averages:
- 4.6% below its 20-day SMA
- 7.8% below its 50-day SMA
- 9.5% below its 200-day SMA
The MACD is also below its signal line, indicating fading upside pressure. The moving-average structure is a headwind, with the 20-day SMA below the 50-day SMA and the 50-day SMA below the 200-day SMA.
Key Levels to Watch
- Key Resistance: $433.00, a round-number pivot area above the major moving averages
- Key Support: $368.50, a nearby floor where buyers previously stepped in
Analyst Consensus and Recent Actions
The stock carries a Buy rating with an average price forecast of $405.70. Recent analyst moves include:
- GLJ Research: Sell (Maintains Target to $24.86)
- Morgan Stanley: Equal-Weight (Raises Target to $417.00)
- Barclays: Equal-Weight (Raises Target to $370.00)
Benzinga Edge Rankings
Tesla’s Benzinga Edge scorecard highlights its strengths and weaknesses:
- Momentum: Neutral (Score: 36.01)
- Quality: Neutral (Score: 61.65)
- Value: Bearish (Score: 3.56)
- Growth: Strong (Score: 88.43)
The Verdict
Tesla’s growth-heavy profile and premium valuation are balanced by moderate momentum. For longer-term bulls, the setup improves if the stock can reclaim key moving averages. For tactical traders, the $368.50 support and $433.00 resistance define the near-term risk range.