Royal Bank Of Canada Reaffirms “Outperform” Rating for Tesla (NASDAQ:TSLA)

Tesla (NASDAQ:TSLA)‘s stock had its “outperform” rating reaffirmed by stock analysts at Royal Bank Of Canada in a research note issued to investors on Thursday, Benzinga reports. They currently have a $480.00 price target on the electric vehicle producer’s stock. Royal Bank Of Canada‘s target price would indicate a potential upside of 28.60% from the company’s previous close.

Several other research firms have also commented on TSLA. UBS Group reiterated a “neutral” rating and set a $425.00 price objective (up from $391.00) on shares of Tesla in a research report on Thursday. Tigress Financial began coverage on shares of Tesla in a research report on Thursday. They set a “buy” rating for the company. Morgan Stanley reiterated a “reduce” rating on shares of Tesla in a research report on Monday, September 14th. Citigroup restated a “neutral” rating on shares of Tesla in a report on Wednesday. Finally, BMO Capital Markets initiated coverage on shares of Tesla in a report on Monday, August 17th. They issued an “outperform” rating for the company. One investment analyst has rated the stock with a Strong Buy rating, twenty-four have issued a Buy rating, twenty have issued a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $408.61.

Tesla Price Performance

TSLA stock traded down $1.33 during trading on Thursday, hitting $373.26. 13,132,918 shares of the company’s stock traded hands, compared to its average volume of 50,440,590. Tesla has a 52 week low of $297.38 and a 52 week high of $498.83. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.55 and a current ratio of 1.94. The business has a fifty day simple moving average of $363.41 and a 200 day simple moving average of $377.25. The stock has a market capitalization of $1.48 trillion, a price-to-earnings ratio of 346.14, a P/E/G ratio of 24.54 and a beta of 1.92.

Tesla (NASDAQ:TSLA) last released its quarterly earnings data on Wednesday, October 21st. The electric vehicle producer reported $0.48 EPS for the quarter, beating the consensus estimate of $0.45 by $0.03. Tesla had a net margin of 3.11% and a return on equity of 3.07%. The business had revenue of $28.05 billion during the quarter, compared to analyst estimates of $28.06 billion. During the same quarter last year, the business earned $0.50 earnings per share. Tesla’s quarterly revenue was down .2% compared to the same quarter last year. As a group, research analysts expect that Tesla will post 0.71 EPS for the current fiscal year.

Insider Activity

In other news, CFO Vaibhav Taneja sold 2,606 shares of the firm’s stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $360.13, for a total value of $938,498.78. Following the completion of the sale, the chief financial officer 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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 19.90% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the stock. Security National Bank of Sioux City Iowa IA purchased a new position in Tesla in the 2nd quarter worth about $25,000. Friedenthal Financial increased its stake in Tesla by 66.7% in the 1st quarter. Friedenthal Financial now owns 75 shares of the electric vehicle producer’s stock worth $28,000 after buying an additional 30 shares during the period. Harborfront Financial Group LLC purchased a new position in Tesla in the 2nd quarter worth about $34,000. Montgomery Financial Services LLC purchased a new position in Tesla in the 2nd quarter worth about $40,000. Finally, Lam Group Inc. purchased a new position in Tesla in the 1st quarter worth about $37,000. Hedge funds and other institutional investors own 66.20% of the company’s stock.

Trending Headlines about Tesla

Here are the key news stories impacting Tesla this week:

• Positive Sentiment: Tesla reported third-quarter adjusted EPS of $0.48, exceeding the $0.45 consensus estimate, while generating approximately $1.5 billion in free cash flow versus expectations for a cash outflow. Its passenger-vehicle backlog also reached a four-year high. Tesla revenue beats estimates
• Positive Sentiment: More than 75% of new North American deliveries included paid Full Self-Driving, with subscriptions reportedly rising 67% year over year. Bulls view growing software adoption as evidence Tesla could eventually become less dependent on vehicle sales. FSD subscriptions surge
• Positive Sentiment: Plans to expand Cybercab robotaxi operations beyond Austin, begin limited customer deliveries by year-end and start Optimus production provide potential long-term catalysts. Musk also said Tesla may build 10,000 to 20,000 Optimus robots for training data. Tesla Cybercab plans
• Positive Sentiment: Energea committed up to $20 million to finance Tesla Supercharger deployments, supporting Tesla’s charging-network expansion and energy-infrastructure strategy. Energea Supercharger commitment
• Neutral Sentiment: Tesla and SpaceX formed special committees to study a possible combination after Musk called a merger a “good idea.” The prospect creates potential synergies in chips, AI, robotics and connectivity, but terms, shareholder approval, conflicts of interest and regulatory reviews remain unresolved. SpaceX Tesla merger discussions
• Negative Sentiment: Revenue was essentially flat year over year at about $28.05 billion. Automotive revenue fell 3%, energy-generation and storage revenue fell 16%, and operating income dropped sharply as AI, robotics and autonomy costs increased. Tesla automotive and energy revenue
• Negative Sentiment: Tesla reduced its 2026 capital-expenditure forecast from roughly $25 billion to $20 billion. While the cut may improve near-term cash flow, investors worry it signals slower progress in AI infrastructure, robotaxis and Optimus. Tesla spending pullback
• Negative Sentiment: Tesla abandoned plans to sell the Cybertruck in Australia and New Zealand and will refund reservation deposits, highlighting product, regulatory and international-demand risks. Cybertruck Australia cancellation
• Negative Sentiment: Analysts continue to caution that Tesla’s extreme valuation assumes successful execution of FSD, robotaxis and robotics. Execution delays, China approval hurdles and a broad technology-stock selloff are amplifying downside risk.

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.