Tesla Stock Stages Strong Comeback
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Source: Yahoo Finance
- Sales Recovery: Tesla's Q1 revenue rose 16% year-over-year to $22.4 billion, with gross margins recovering to 21.1%, indicating a gradual recovery in profitability after last year's revenue decline, which boosts market confidence in its future growth.
- Chinese Market Revival: Tesla's sales in China reportedly surged about 40% in May compared to the previous year, marking the strongest monthly sales figure of 2026, suggesting an improvement in performance in this critical market that could enhance overall results.
- Autonomous Driving Progress: Tesla expanded its driverless Robotaxi service to Dallas and Houston in April, with paid miles nearly doubling from the previous quarter, demonstrating the company's ongoing investment and technological advancements in the autonomous driving sector.
- Increased Capital Expenditure: Tesla raised its 2026 capital expenditure plan to over $25 billion, about three times last year's amount, indicating a long-term commitment to investing in AI infrastructure and new products, despite expectations of negative free cash flow this year.
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Analyst Views on TSLA
Wall Street analysts forecast TSLA stock price to fall
30 Analyst Rating
12 Buy
11 Hold
7 Sell
Hold
Current: 418.450
Low
25.28
Averages
401.93
High
600.00
Current: 418.450
Low
25.28
Averages
401.93
High
600.00
About TSLA
Tesla, Inc. designs, develops, manufactures, sells and leases high-performance fully electric vehicles and energy generation and storage systems, and offers services related to its products. Its segments include automotive, and energy generation and storage. The automotive segment includes the design, development, manufacturing, sales and leasing of high-performance fully electric vehicles, and sales of automotive regulatory credits. It also includes sales of used vehicles, non-warranty maintenance services and collisions, part sales, paid supercharging, insurance services revenue and retail merchandise sales. The energy generation and storage segment include the design, manufacture, installation, sales and leasing of solar energy generation and energy storage products and related services and sales of solar energy systems incentives. Its consumer vehicles include the Model 3, Y, S, X and Cybertruck. Its lithium-ion battery energy storage products include Powerwall and Megapack.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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