Tesla (TSLA) stock jumped about 11% in yesterday’s session, building on Friday’s 5% rise after CEO Elon Musk held a company-wide meeting to boost employee morale. Strengthening this upward trend, two analysts reaffirmed their Buy ratings on the stock.
Analysts’ Opinions on Tesla Stock
On March 24, Piper Sandler analyst Alexander Potter reaffirmed his Overweight rating on Tesla stock with a $450 price target, showing confidence in the company’s future. The 5-star analyst pointed to possible new product launches in the coming months and Tesla’s planned robo-taxi unveiling in June as major growth drivers.
However, Potter also noted short-term challenges, including lower-than-expected Q1 deliveries. While some think Elon Musk’s political actions are affecting demand, he argued that supply constraints are a bigger problem. He pointed out that factory shutdowns at all four Model Y plants have greatly reduced production, playing a key role in the expected delivery shortfall.
Similarly, Canaccord Genuity analyst George Gianarikas kept a Buy rating on Tesla with a $404 price target. He increased his Q1 2025 delivery estimate to 362,000 from 331,000, though it is still below the consensus forecast of 417,000. He attributed the lower numbers to factory retooling for the updated Model Y, which has temporarily slowed production. He also thinks some buyers are waiting for the new Model Y before making a purchase, affecting Q1 deliveries.
While recognizing some economic and brand-related challenges, Gianarikas questioned whether these production delays and buyer wait times are being mistaken for a larger slowdown in Tesla’s business. He believes supply issues, along with some demand factors, are the main reasons for the weaker Q1 delivery numbers.
Is TSLA Stock a Buy?
According to TipRanks, TSLA stock has received a Hold consensus rating, with 14 Buys, 11 Holds, and 11 Sells assigned in the last three months. The average price target for Tesla stock is $335.32, suggesting a potential upside of 20.45% from the current level.
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