Is Tesla Stock (TSLA) a Buy Ahead of Q2 Earnings? | Markets Insider

Published 1 week ago• 2 minute read

Tesla (TSLA) is scheduled to report its second-quarter 2025 earnings on July 23. The stock has been highly volatile in recent months and is down 21% year-to-date. Lately, Tesla stock has come under pressure due to weaker delivery figures and CEO Elon Musk’s political remarks, including his mention of launching an “America Party.”

Still, there’s growing buzz around Tesla’s move into self-driving tech. The company has started testing its robotaxi service in Austin, and Musk has expressed strong confidence. In addition, Tesla is preparing to launch a revamped Model Y to better compete with local EV rivals in China.

While Tesla’s push into autonomy and upcoming product launches could offer some upside, analysts remain cautious ahead of the Q2 report due to ongoing concerns about profitability. Rising competition from Chinese EV makers like BYD (BYDDY) is also seen as a key risk for Tesla.

Wall Street expects Tesla to report earnings of $0.40 per share, down 23% from the same quarter last year. Revenue is projected to decline about 12% year-over-year to $22.4 billion.

Tesla’s earnings call will be closely watched for updates on margins, production costs, and any guidance around its next-gen compact EV. If Musk shares new details on the robotaxi platform or product refreshes, like the updated Model Y, it could spark renewed investor enthusiasm.

Just yesterday, five-star analyst Mark Delaney of Goldman Sachs maintained a Hold rating on Tesla with a $285 price target, citing the company’s evolving product roadmap.

He pointed to the newly announced Model Y “L” variant, which adds a third row of seating. Delaney believes the new version could help Tesla compete more effectively in the three-row SUV segment, especially as it gears up for launch in China later this year.

Overall, Wall Street is sidelined on Tesla stock, with a Hold consensus rating based on 13 Buys, 13 Holds, and eight Sell recommendations. The average TSLA stock price target of $298.97 indicates 6.40% downside risk from current levels.