Tesla (NASDAQ:TSLA) Shares Climb 3.8% – Time to Buy?

Tesla, Inc. (NASDAQ:TSLA)’s share price rose 3.8% on Monday. The stock traded as high as $369.58 and last traded at $368.06. Approximately 38,601,683 shares traded hands during trading, a decline of 24% from the average daily volume of 50,738,730 shares. The stock had previously closed at $354.72.

Tesla News Roundup

Here are the key news stories impacting Tesla this week:

• Positive Sentiment: Roadster reveal fuels growth and merger speculation. Tesla’s thruster-powered Roadster demonstration increased investor interest in the company’s technology ambitions and revived speculation that Tesla could combine with SpaceX. Some analysts believe the SpaceX connection could strengthen Tesla’s “halo” and support future AI, robotics and aerospace initiatives. Tesla’s Roadster Reveal Hints at 2 Much Bigger Moves
• Positive Sentiment: Political support and legal relief provide additional catalysts. Florida Governor Ron DeSantis said he would work to make the flying Roadster legal in Florida, while a U.S. appeals court overturned certification of a class-action lawsuit involving Tesla’s self-driving claims. Neither development immediately changes earnings, but both may improve sentiment toward Tesla’s product pipeline and reduce litigation pressure. Tesla Rises as DeSantis Vows to Make Flying Roadster Legal in Florida
• Positive Sentiment: China’s new green-technology subsidies could support demand. A reported $37 billion Chinese subsidy program covering smart and green technologies, including electric vehicles, could benefit Tesla in one of its largest markets if it translates into stronger consumer demand. Tesla Gets a Lift From China’s Subsidies
• Neutral Sentiment: Wednesday’s earnings report is the immediate focus. Analysts expect roughly $27.8 billion to $27.9 billion in third-quarter revenue and approximately $0.43–$0.44 in EPS, with gross margin near 17.5%. Investors will look for evidence that deliveries, autonomy and AI spending can offset margin pressure. Buy, Hold or Sell TSLA Stock Ahead of Q3 Earnings
• Negative Sentiment: Execution, profitability and valuation remain concerns. Critics view the Roadster as a marketing demonstration with uncertain pricing, regulatory approval, production timing and profit potential. Analysts also caution that merger speculation is complicated and unconfirmed, while Tesla’s valuation leaves little room for an earnings miss or evidence of uncontrolled AI and chip-development costs. Tesla-SpaceX Merger Is Not So Easy

Analysts Set New Price Targets

A number of research analysts have recently issued reports on TSLA shares. Barclays upgraded shares of Tesla from a “negative” rating to an “outperform” rating in a research note on Monday. Guggenheim initiated coverage on Tesla in a research report on Monday, June 29th. They set a “neutral” rating on the stock. Roth Capital reaffirmed a “buy” rating and set a $505.00 price target on shares of Tesla in a report on Thursday, July 23rd. BMO Capital Markets started coverage on Tesla in a research report on Monday, August 17th. They issued an “outperform” rating for the company. Finally, HSBC reissued a “reduce” rating and issued a $157.00 price objective on shares of Tesla in a research note on Monday, October 5th. One research analyst has rated the stock with a Strong Buy rating, twenty-five have issued a Buy rating, sixteen have given a Hold rating and five have given a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $415.07.

Tesla Stock Performance

The stock’s 50 day simple moving average is $359.98 and its two-hundred day simple moving average is $377.05. The company has a market capitalization of $1.45 trillion, a P/E ratio of 340.80, a P/E/G ratio of 22.59 and a beta of 1.92. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.94 and a quick ratio of 1.55.

Tesla (NASDAQ:TSLA) last released its quarterly earnings results on Thursday, July 23rd. The electric vehicle producer reported $0.33 EPS for the quarter, missing the consensus estimate of $0.50 by ($0.17). The company had revenue of $28.24 billion for the quarter, compared to the consensus estimate of $26.42 billion. Tesla had a net margin of 3.67% and a return on equity of 3.82%. Tesla’s revenue for the quarter was up 25.5% compared to the same quarter last year. During the same period last year, the company earned $0.33 earnings per share. As a group, research analysts expect that Tesla, Inc. will post 0.71 earnings per share for the current year.

Insider Transactions at Tesla

In other Tesla news, CFO Vaibhav Taneja sold 2,606 shares of the stock in a transaction on Tuesday, September 8th. The stock was sold at an average price of $360.13, for a total value of $938,498.78. Following the transaction, the chief financial officer directly owned 25,972 shares in the company, valued at approximately $9,353,296.36. This trade represents a 9.12% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Corporate insiders own 19.90% of the company’s stock.

Hedge Funds Weigh In On Tesla

Several large investors have recently made changes to their positions in the company. State Street Corp grew its holdings in shares of Tesla by 2.4% during the 2nd quarter. State Street Corp now owns 117,456,756 shares of the electric vehicle producer’s stock valued at $49,402,312,000 after purchasing an additional 2,761,298 shares during the last quarter. Amundi increased its position in Tesla by 14.0% during the 1st quarter. Amundi now owns 22,174,884 shares of the electric vehicle producer’s stock worth $8,243,513,000 after purchasing an additional 2,727,141 shares in the last quarter. Legal & General Group Plc acquired a new position in Tesla during the 2nd quarter worth approximately $8,535,612,000. Bank of New York Mellon Corp bought a new position in Tesla in the 2nd quarter valued at approximately $6,083,630,000. Finally, Bamco Inc. NY lifted its stake in Tesla by 5.0% in the 2nd quarter. Bamco Inc. NY now owns 12,524,752 shares of the electric vehicle producer’s stock valued at $5,267,911,000 after purchasing an additional 591,243 shares during the last quarter. Institutional investors and hedge funds own 66.20% of the company’s stock.

About Tesla

Tesla, Inc is an electric vehicle and clean energy company headquartered in Austin, Texas. Founded in 2003, the company designs, manufactures and sells electric vehicles, including the Model S, Model 3, Model X, Model Y and Cybertruck. Tesla also develops vehicle software, driver-assistance features and related services intended to support the operation and ownership of its vehicles.

Beyond automobiles, Tesla produces energy storage products for residential, commercial and utility-scale applications, including the Powerwall and Megapack.