Tesla (NASDAQ:TSLA) Q3 Earnings Report

Tesla is set to report its third-quarter results on Wednesday, October 23. Investors are eager for positive news to lift the stock, which has struggled since Robotaxi Day.

Analysts' Estimates

• Earnings per Share (EPS): $0.60
• Revenue: $25.4 billion

Barclays' Insights

Barclays expects improvements in operating expenses and margins due to increased volumes and better raw material costs. They predict the Q3 results will serve as a positive catalyst.

Analysts note that Tesla is refocusing on fundamentals, seeking clues about margin recovery and volume stability. They believe margins have bottomed out and are poised to improve.

Future Outlook

Looking ahead, Barclays warns that maintaining growth momentum may hinge on future developments, as they forecast flat volumes year-over-year for 2024. The larger focus will be on the upcoming launch of the Model 2.5, Tesla’s low-cost vehicle.

While short-term results may offer a boost, the long-term outlook remains uncertain due to the mixed prospects of Tesla's autonomous vehicle (AV) and artificial intelligence (AI) strategies. Barclays maintains an Equal Weight rating with a $220 price target.