

Investor's Corner
Tesla (TSLA) gets more bullish outlook from Wall St. amid go-private initiative
Wall Street analysts covering Tesla (NASDAQ:TSLA) are starting to show a more bullish outlook towards the electric car maker. Since Tesla posted its Q2 financial results on August 1, analysts have upped their earnings estimates for the company, taking forecasts for 2019 up by more than 68%.
Mott Capital Management founder Michael Kramer notes that the improving outlook among Wall St. analysts comes as Tesla continues the production ramp of the Model 3. In the company’s Q2 earnings call, Elon Musk noted that Tesla was able to sustain the Model 3’s 5,000/week production rate during “multiple weeks” in July. Encouraging signs about the Model 3 ramp continued to emerge this week as well, after Tesla registered more than 16,000 new VINs for the electric car in a seven-day period. Bloomberg‘s Model 3 tracker, which has gotten more accurate over the past few months, also estimates the production of the vehicle to be at over 5,800 per week.
After August 1, analysts have narrowed their losses for the company in 2018 from $6.79 to $5.85. Revenue estimates for the full year were also revised higher by 4%, and are now seen rising by almost 74% versus the past year to $20.5 billion. Revenue estimates before August 1 among Wall St. analysts were at $19.5 billion. Apart from this, earnings estimates from Wall St. became more bullish since August started, with analysts now forecasting earnings to rise by more than 68% to $2.83 from $1.73. This signified the first time that analysts upped their forecast for next year.
While Wall St. analysts still believe that Tesla stock may be currently overvalued, the average price target for the company has been raised to $321.40, which is roughly 10% below the current price of the stock. This represents a nearly 13% average price increase since the end of July. Kramer noted that among 28 analysts covering Tesla, 32% currently have a Buy or Outperform rating on the company, while 36% have a Sell or Underperform rating. Among these is Oppenheimer analyst Colin Rusch, who upgraded Tesla from Perform to Outperform and set a price target of $385 after the company’s Q2 earnings call.
“While we have been cautious on Model 3 ramp, we believe gross-margin performance on Model 3 will carry the stock over the next 12 months,. With higher volumes and slower spending, we believe Tesla has reached a critical inflection point in its development,” Rusch wrote in a report to clients.
Tesla stock continues to be a battleground between the company’s supporters and critics. Since Elon Musk dropped a bombshell announcement last week about the possibility of Tesla going private, the company’s stock has proven to be volatile. After Musk’s announcement last Tuesday, TSLA ended the day at $379.58 per share. Tesla stock has since dropped back to the $350 range, ending Monday at $356.41 per share, despite Elon Musk releasing a follow-up blog post explaining why he announced that funding for Tesla’s privatization had been “secured.”
Amidst the controversy surrounding Musk’s announcement, fellow billionaire Mark Cuban, who owns the NBA’s Dallas Mavericks, expressed his support for Musk. In an interview with CNBC, Cuban noted that Musk’s unorthodox business decisions, as well as his eccentric behavior, are things that contribute to Tesla’s potential.
“When you invest in an entrepreneur, you get the personality. This is a guy who is sleeping in the factory. This is a guy who is pushing, pushing, pushing. I would tell shareholders ‘be grateful that you have somebody that committed to the company,’ and recognize that being unique is what has helped make Tesla so successful,” Cuban said.
Tesla has formed a special committee to evaluate proposals for the company’s privatization. The committee, comprised of Brad Buss, Robyn Denholm and Linda Johnson Rice, who are independent directors, has noted that it is waiting to receive a formal proposal from Elon Musk as of Tuesday morning.
As of writing, Tesla stock is trading at -1.06% at $352.90 per share.
Disclosure: I have no ownership in shares of TSLA and have no plans to initiate any positions within 72 hours.
Investor's Corner
Tesla could save $2.5B by replacing 10% of staff with Optimus: Morgan Stanley
Jonas assigned each robot a net present value (NPV) of $200,000.

Tesla’s (NASDAQ:TSLA) near-term outlook may be clouded by political controversies and regulatory headwinds, but Morgan Stanley analyst Adam Jonas sees a glimmer of opportunity for the electric vehicle maker.
In a new note, the Morgan Stanley analyst estimated that Tesla could save $2.5 billion by replacing just 10% of its workforce with its Optimus robots, assigning each robot a net present value (NPV) of $200,000.
Morgan Stanley highlights Optimus’ savings potential
Jonas highlighted the potential savings on Tesla’s workforce of 125,665 employees in his note, suggesting that the utilization of Optimus robots could significantly reduce labor costs. The analyst’s note arrived shortly after Tesla reported Q2 2025 deliveries of 384,122 vehicles, which came close to Morgan Stanley’s estimate and slightly under the consensus of 385,086.
“Tesla has 125,665 employees worldwide (year-end 2024). On our calculations, a 10% substitution to humanoid at approximately ($200k NPV/humanoid) could be worth approximately $2.5bn,” Jonas wrote, as noted by Street Insider.
Jonas also issued some caution on Tesla Energy, whose battery storage deployments were flat year over year at 9.6 GWh. Morgan Stanley had expected Tesla Energy to post battery storage deployments of 14 GWh in the second quarter.
Musk’s political ambitions
The backdrop to Jonas’ note included Elon Musk’s involvement in U.S. politics. The Tesla CEO recently floated the idea of launching a new political party, following a poll on X that showed support for the idea. Though a widely circulated FEC filing was labeled false by Musk, the CEO does seem intent on establishing a third political party in the United States.
Jonas cautioned that Musk’s political efforts could divert attention and resources from Tesla’s core operations, adding near-term pressure on TSLA stock. “We believe investors should be prepared for further devotion of resources (financial, time/attention) in the direction of Mr. Musk’s political priorities which may add further near-term pressure to TSLA shares,” Jonas stated.
Investor's Corner
Two Tesla bulls share differing insights on Elon Musk, the Board, and politics
Two noted Tesla bulls have shared differing views on the recent activities of CEO Elon Musk and the company’s leadership.

Two noted Tesla (NASDAQ:TSLA) bulls have shared differing views on the recent activities of CEO Elon Musk and the company’s leadership.
While Wedbush analyst Dan Ives called on Tesla’s board to take concrete steps to ensure Musk remains focused on the EV maker, longtime Tesla supporter Cathie Wood of Ark Invest reaffirmed her confidence in the CEO and the company’s leadership.
Ives warns of distraction risk amid crucial growth phase
In a recent note, Ives stated that Tesla is at a critical point in its history, as the company is transitioning from an EV maker towards an entity that is more focused on autonomous driving and robotics. He then noted that the Board of Directors should “act now” and establish formal boundaries around Musk’s political activities, which could be a headwind on TSLA stock.
Ives laid out a three-point plan that he believes could ensure that the electric vehicle maker is led with proper leadership until the end of the decade. First off, the analyst noted that a new “incentive-driven pay package for Musk as CEO that increases his ownership of Tesla up to ~25% voting power” is necessary. He also stated that the Board should establish clear guidelines for how much time Musk must devote to Tesla operations in order to receive his compensation, and a dedicated oversight committee must be formed to monitor the CEO’s political activities.
Ives, however, highlighted that Tesla should move forward with Musk at its helm. “We urge the Board to act now and move the Tesla story forward with Musk as CEO,” he wrote, reiterating its Outperform rating on Tesla stock and $500 per share price target.
Tesla CEO Elon Musk has responded to Ives’ suggestions with a brief comment on X. “Shut up, Dan,” Musk wrote.
Cathie Wood reiterates trust in Musk and Tesla board
Meanwhile, Ark Investment Management founder Cathie Wood expressed little concern over Musk’s latest controversies. In an interview with Bloomberg Television, Wood said, “We do trust the board and the board’s instincts here and we stay out of politics.” She also noted that Ark has navigated Musk-related headlines since it first invested in Tesla.
Wood also pointed to Musk’s recent move to oversee Tesla’s sales operations in the U.S. and Europe as evidence of his renewed focus in the electric vehicle maker. “When he puts his mind on something, he usually gets the job done,” she said. “So I think he’s much less distracted now than he was, let’s say, in the White House 24/7,” she said.
TSLA stock is down roughly 25% year-to-date but has gained about 19% over the past 12 months, as noted in a StocksTwits report.
Investor's Corner
Cantor Fitzgerald maintains Tesla (TSLA) ‘Overweight’ rating amid Q2 2025 deliveries
Cantor Fitzgerald is holding firm on its bullish stance for the electric vehicle maker.

Cantor Fitzgerald is holding firm on its bullish stance for Tesla (NASDAQ: TSLA), reiterating its “Overweight” rating and $355 price target amidst the company’s release of its Q2 2025 vehicle delivery and production report.
Tesla delivered 384,122 vehicles in Q2 2025, falling below last year’s Q2 figure of 443,956 units. Despite softer demand in some countries in Europe and ongoing controversies surrounding CEO Elon Musk, the firm maintained its view that Tesla is a long-term growth story in the EV sector.
Tesla’s Q2 results
Among the 384,122 vehicles that Tesla delivered in the second quarter, 373,728 were Model 3 and Model Y. The remaining 10,394 units were attributed to the Model S, Model X, and Cybertruck. Production was largely flat year-over-year at 410,244 units.
In the energy division, Tesla deployed 9.6 GWh of energy storage in Q2, which was above last year’s 9.4 GWh. Overall, Tesla continues to hold a strong position with $95.7 billion in trailing twelve-month revenue and a 17.7% gross margin, as noted in a report from Investing.com.
Tesla’s stock is still volatile
Tesla’s market cap fell to $941 billion on Monday amid volatility that was likely caused in no small part by CEO Elon Musk’s political posts on X over the weekend. Musk has announced that he is forming the America Party to serve as a third option for voters in the United States, a decision that has earned the ire of U.S. President Donald Trump.
Despite Musk’s controversial nature, some analysts remain bullish on TSLA stock. Apart from Cantor Fitzgerald, Canaccord Genuity also reiterated its “Buy” rating on Tesla shares, with the firm highlighting the company’s positive Q2 vehicle deliveries, which exceeded its expectations by 24,000 units. Cannacord also noted that Tesla remains strong in several markets despite its year-over-year decline in deliveries.
-
Elon Musk1 day ago
Waymo responds to Tesla’s Robotaxi expansion in Austin with bold statement
-
News1 day ago
Tesla exec hints at useful and potentially killer Model Y L feature
-
Elon Musk2 days ago
Elon Musk reveals SpaceX’s target for Starship’s 10th launch
-
Elon Musk3 days ago
Tesla ups Robotaxi fare price to another comical figure with service area expansion
-
News1 day ago
Tesla’s longer Model Y did not scale back requests for this vehicle type from fans
-
News1 day ago
“Worthy of respect:” Six-seat Model Y L acknowledged by Tesla China’s biggest rivals
-
News2 days ago
First glimpse of Tesla Model Y with six seats and extended wheelbase
-
Elon Musk2 days ago
Elon Musk confirms Tesla is already rolling out a new feature for in-car Grok