Tesla (NASDAQ: TSLA) is about to report its earnings for the second quarter of 2025 tomorrow, and though Wall Avenue agency Wedbush is bullish as the corporate seems to have its “wartime CEO” again, it’s in search of solutions to a couple considerations buyers might have transferring ahead.
The agency’s lead analyst on Tesla, Dan Ives, has stored a bullish sentiment concerning the inventory, whilst Musk’s focus appeared to be extra on politics and fewer on the corporate.
Nonetheless, Musk has not too long ago returned to his previous angle, which is being fully devoted and devoted to his corporations. He even mentioned he can be sleeping in his workplace and dealing seven days every week:
Again to working 7 days every week and sleeping within the workplace if my little children are away https://t.co/77cc6sRCFZ
— Elon Musk (@elonmusk) July 20, 2025
However, Ives has continued to push solutions ahead about what Tesla ought to do, what its potential valuation could possibly be within the coming years with autonomy, and the way it will take care of the lack of the EV tax credit score.
Tesla preps to broaden Robotaxi geofence as soon as once more, answering Waymo
These questions are on the forefront of what Ives suggests Tesla ought to confront on tomorrow’s name, he wrote in a be aware to buyers that was launched on Tuesday morning:
“Clearly, dropping the EV tax credit with the latest Beltway Invoice shall be a headwind to Tesla and opponents within the EV panorama wanting forward, and this money cow will change into much less of the story (and FCF) in 2026. We might anticipate some directional steerage on this subject in the course of the convention name. Importantly, we anticipate deliveries globally to rebound in 2H led by some enchancment on the important thing China entrance with the Mannequin Y refresh a catalyst.”
Ives and Wedbush consider the autonomy could possibly be value $1 trillion for Tesla, particularly because it continues to broaden all through Austin and finally to different territories.
Within the close to time period, Ives expects Tesla to proceed its path of returning to progress:
“Whereas the corporate has seen vital weak point in China in earlier quarters given the rising aggressive panorama throughout EVs, Tesla noticed a rebound in June with gross sales growing for the primary time in eight months reflecting increased demand for its up to date Mannequin Y as deliveries within the area are beginning to slowly flip a nook with China representing the center and lungs of the TSLA progress story. Regardless of seeing extra low-cost fashions enter the market from Chinese language OEMs like BYD, Nio, Xpeng, and others, the corporate’s latest updates to the Mannequin Y spurred elevated demand whereas the accelerated manufacturing ramp-up in Shanghai for this refresh cycle mirrored TSLA’s capacity to satisfy rising demand within the marquee area. If Musk continues to guide and stay within the driver’s seat at this tempo, we consider Tesla is on a path to an accelerated progress path over the approaching years with deliveries anticipated to ramp within the back-half of 2025 following the Mannequin Y refresh cycle.”
Tesla will report earnings tomorrow at market shut. Wedbush maintained its ‘Outperform’ score and held its $500 value goal.
