Tesla Faces Analyst Downgrade Ahead of Earnings Report

Author: Dylan Bailey Updated: 07-23-2025 09:27 AM

Tesla's Upcoming Earnings Report

Tesla, Inc. (NASDAQ: TSLA) is about to disclose its second-quarter earnings results. Investors and analysts are eagerly awaiting the figures that could significantly impact the company's stock price.

What Analysts Expect

There is a consensus among industry professionals that the electric vehicle manufacturer will report earnings of 40 cents per share. This is a decrease from 52 cents per share from the same period last year. Additionally, revenue is anticipated to reach $22.13 billion, significantly less than the $25.5 billion reported a year prior.

Recent Performance and Analyst Ratings

Recently, Tesla has experienced a decline in its market performance. The company has missed revenue projections for three consecutive quarters and has fallen short of expectations in six of the last seven quarters overall. This trend has raised concerns among investors and analysts alike.

Stock Price Movement

In response to market conditions, Tesla shares saw a slight increase of 1.1%, closing at $332.11. As the earnings report date approaches, market watchers are carefully analyzing how such results could affect stock performance.

Analysts Update Their Price Targets

In light of Tesla's continued struggles, prominent financial institutions have adjusted their stock price targets. Goldman Sachs' Mark Delaney recently downgraded Tesla to a Neutral rating, lowering the price target from $315 to $285, while Mizuho's Vijay Rakesh maintained an Outperform rating and revised the target from $390 down to $375.

Other Analyst Actions

Further downgrades have also occurred, such as William Blair analyst Jed Dorsheimer changing his rating from Outperform to Market Perform, accompanied by a price target reduction. Meanwhile, Canaccord Genuity’s George Gianarikas continues to support Tesla with a Buy rating, setting a price target of $303.

Investors’ Sentiment

Considering all these factors, investors contemplating purchasing TSLA shares are encouraged to look closely at these analysts’ insights. The shifting ratings and revised targets underscore the cautious sentiment surrounding Tesla as market conditions evolve.

Frequently Asked Questions

What are the expected earnings for Tesla's upcoming report?

Analysts expect earnings to be around 40 cents per share for the second quarter.

How have Tesla's recent earnings compared to past performance?

Tesla has consistently missed revenue estimates, including for the last three quarters.

Who has recently changed their rating on Tesla stock?

Goldman Sachs and Mizuho are among the firms that have adjusted their ratings and price targets on Tesla.

What is Tesla's stock price as of now?

Tesla shares are currently trading at approximately $332.11.

What should potential investors consider before buying TSLA stock?

Investors should consider analyst ratings, current earnings expectations, and Tesla's recent performance trends before making decisions.

About The Author

My name is Dylan Bailey, and I am 28 years old. I am an author and an expert on the stock market who specializes in publicly traded companies. Early fascination with the stock market inspired me to seek a finance degree and then delve deeply into the world of stocks. I have developed over the years my abilities to spot investment prospects, assess business performance, and analyze market trends.

My books and articles try to help regular investors understand the nuances of the stock market. Anyone can, in my opinion, make wise investment choices and succeed financially if they have the correct information and resources. In my writing, I combine in-depth research with practical insights and advice that can be put into action. This is done with the intention of assisting readers in navigating the constantly shifting landscape of publicly traded companies.

In addition to writing, I also host webinars and workshops, where I give presentations and share my knowledge with a wider audience. I also write for top financial journals and show up as a guest analyst on financial news shows. I like to travel, spend time with my family, and keep active by playing different sports when I'm not buried in market research.

My goal is to enable people to choose wisely and consciously in their investments, so taking charge of their financial futures. By my work, I hope to create a community of informed and self-assured investors prepared to take advantage of the chances presented by the stock market.

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