Tesla Stock: Another Analyst Moves to the Sidelines After Earnings
Tesla stock is spiraling Wednesday after the EV maker's big earnings miss and Wall Street has been quick to weigh in. Here's what you need to know.

Tesla (TSLA) stock is spiraling Wednesday after the electric vehicle (EV) and battery maker reported second-quarter earnings that came up short of Wall Street's expectations.
In the quarter ended June 30, Tesla's revenue increased 2.3% year-over-year to $25.5 billion, thanks in part to revenue from its Energy Generation and Storage segment, which doubled to $3 billion. The company also said earnings per share (EPS) declined 43% from the year prior to 52 cents.
"In Q2, we achieved record quarterly revenues despite a difficult operating environment," Tesla said in its earnings release. In addition to rapid growth in its Energy Storage unit, the company adds that it "saw a sequential rebound in vehicle deliveries in Q2 as overall consumer sentiment improved and we launched attractive financing options to offset the impact of sustained high interest rates."

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Tesla's results were mixed compared with analysts' expectations. Wall Street was anticipating revenue of $24.8 billion and earnings of 62 cents per share, according to CNBC.
The bottom-line miss is likely one catalyst for Tesla's post-earnings slide, but it's being exacerbated by news the company rescheduled its robotaxi event. Indeed, on Tesla's conference call, CEO Elon Musk said that the company will move its robotaxi unveiling event to October 10. The event was originally scheduled for August 8, but was delayed because Musk wanted to make "important changes to improve the vehicle.
Is Tesla stock a buy, sell or hold?
Tesla stock has performed the worst of the Magnificent 7 stocks on the price chart this year, down nearly 13% so far. However, the consumer discretionary stock has made strides in recent months, up more than 50% since late April.
Still, Wall Street remains on the sidelines. According to S&P Global Market Intelligence, the average analyst target price for TSLA stock is $203.88, which is a discount of roughly 6% to current levels. Additionally, the consensus recommendation is a Hold.
At least one additional analyst moved to the sidelines after earnings, too. Specifically, CFRA Research analyst Garrett Nelson downgraded Tesla to Hold from Buy and lowered his price target to $240 from $250.
"While TSLA shares have rebounded strongly in recent months, with the Robotaxi Day having been delayed until October, we see little in the way of near-term catalysts for the story," Nelson writes in a note to clients. "We move to the sidelines on valuation and pending greater clarity on intermediate-term growth drivers," though Nelson adds that "we continue to believe in the long-term story."
Nelson's $240 price target sits about 8% above where Tesla is currently trading.
Related Content
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
Retire in Costa Rica With These Three Tax Benefits
Retirement Taxes Costa Rica may be a good place for retirement if you like the low cost of living and savings for your heirs.
By Kate Schubel Published
-
Five Ways to Ease Caregiver Stress
Caregiver stress is real. Here are five techniques to protect your health and happiness while caring for a loved one.
By MP Dunleavey Published
-
Financial Strategies Borrowed From the Big Game's Playbook
Like the best football teams, you can win at financial planning by executing a strategy, making halftime adjustments and staying focused on the ultimate prize.
By Frank J. Legan Published
-
Three Ways to Plan Now for a Social Security Shortfall Later
The outlook for Social Security is gloomy, but you can save now to protect against benefit cuts later. If the cuts don't happen, you'll still be better off.
By Tyler Jones Published
-
Is It Too Late to Invest in Bitcoin?
The price of the world's No. 1 cryptocurrency recently surpassed $100,000 for the first time. Is it too late to invest in bitcoin?
By Coryanne Hicks Published
-
Extra Cash? Should You Pay Off Debt or Invest?
Depending on your financial situation, you might benefit from paying off debt, investing or both. Here are some things to consider before deciding.
By Anthony Martin Published
-
The Future of 1031 Exchanges Under Trump Looks Bright
As a real estate investor himself, President Trump appears poised to preserve the tax-deferring power of this strategy. But you still must follow the rules.
By Edward E. Fernandez Published
-
Gambling vs Investing: How to Tell the Difference
It's easy to get caught up in the excitement of placing a bet on the Big Game, but beware of letting that emotion drive your investing decisions.
By James Martielli, CFA®, CAIA® Published
-
Stock Market Today: Stocks Swing Lower as Inflation Fears Rise
The latest consumer sentiment data showed near-term inflation expectations rose to their highest level since November 2023.
By Karee Venema Published
-
January Jobs Report Keeps Rates on Pause: What the Experts Are Saying
Jobs Report Solid labor market conditions point to the Fed maintaining a cautious stance on borrowing costs.
By Dan Burrows Published