EV maker Tesla (TSLA) overtook Audi in car sales in 2024 despite falling short of its own expectations. Audi, which is owned by automaker Volkswagen (VWAGY), sold 1.67 million cars (a 12% drop) while Tesla delivered 1.79 million vehicles. Audi’s struggles can be attributed to the rising competition in Europe and China, as well as the weak demand for its EV lineup.
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Indeed, Audi’s sales slipped across key markets like Germany, China, and North America, while deliveries of its fully electric models fell 8% to 164,000. In response to slowing sales, Volkswagen cut production, and Audi announced plans to close its Brussels plant due to low demand for its electric Q8 e-tron SUV.
However, Tesla was not without its own challenges, either, after posting its first annual delivery decline in over a decade. Nevertheless, it managed to stay just ahead of China’s BYD in fully electric vehicle sales to retain its top global position in 2024.
Investor Sentiment Remains Positive for Tesla
Despite seeing its first annual delivery decline in a while, Tesla investors have been optimistic about the stock ever since Donald Trump won the U.S. presidential election. In fact, sentiment among TipRanks investors is currently positive, as 11.3% of the tracked portfolios have a position in TSLA stock. In addition, the average weighting is almost 14%, which suggests that investors are very confident about the company’s future.
Is Tesla Stock a Buy, Hold, or Sell?
Turning to Wall Street, analysts have a Hold consensus rating on TSLA stock based on 13 Buys, 12 Holds, and nine Sells assigned in the past three months, as indicated by the graphic below. After a 79% rally in its share price over the past year, the average Tesla price target of $323.56 per share implies 19.8% downside risk.
