Tesla (NASDAQ:TSLA) Trading 2.2% Higher – Should You Buy?

Tesla, Inc. (NASDAQ:TSLA) shot up 2.2% during trading on Wednesday . The company traded as high as $416.38 and last traded at $407.82. 62,048,621 shares changed hands during mid-day trading, an increase of 1% from the average session volume of 61,462,910 shares. The stock had previously closed at $399.23.

Key Tesla News

Here are the key news stories impacting Tesla this week:

• Positive Sentiment: China-made EV deliveries jumped sharply, signaling a possible demand rebound in Tesla’s largest growth market — a near-term tailwind for revenue and utilization at Giga Shanghai. Tesla’s China-Made EV Sales Just Nearly Doubled
• Positive Sentiment: The UK regulator granted Tesla Energy Ventures a licence to sell electricity to households and businesses in Great Britain — expanding a recurring‑revenue energy business that diversifies Tesla beyond vehicle sales. Tesla’s energy business wins approval to supply electricity in UK
• Positive Sentiment: FTC approval allows Tesla to convert its xAI investment into a small stake in SpaceX — a potential way to capture upside from a future SpaceX IPO and recycle capital toward core Tesla initiatives. Tesla Approved To Convert xAI Stakes Into SpaceX
• Neutral Sentiment: Elon Musk’s Macrohard AI initiative and Tesla’s increasing software focus could unlock high-margin services (robotaxi/agent revenue) but are unproven at scale and are already commanding more investor attention than monthly delivery data. Tesla Turns into A ‘Software-Killer’ With Macrohard
• Neutral Sentiment: Management says Optimus 3 will be released on an annual design cadence; robotics/Optimus progress is a medium‑term upside but execution timelines remain a major source of uncertainty. This Is Elon Musk’s Latest Optimus 3 Production Timeline
• Negative Sentiment: Rivian’s R2 launch and mass-market push create renewed competitive pressure in the midsize SUV segment — a near-term risk to Tesla’s Model Y pricing and volume if Rivian executes on a lower‑priced, high‑volume ramp. Rivian Is About to Challenge Tesla Where It Hurts Most
• Negative Sentiment: Analyst and safety concerns: third‑party FSD metrics and at least one firm’s negative coverage highlight deteriorating disengagement/safety data — a material regulatory and litigation risk that can depress multiples and slow robotaxi commercialization. Tesla’s FSD Safety Metrics ‘Sharply Deteriorating,’ Says Analyst
• Negative Sentiment: xAI leadership churn and reported layoffs raise governance and execution questions around Tesla’s broader AI strategy — investors may penalize near-term stock performance until the AI/robotics roadmap shows consistent progress. Musk ousts more xAI founders as AI coding effort falters, FT reports

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on TSLA shares. CICC Research upped their price objective on shares of Tesla from $450.00 to $500.00 and gave the company an “outperform” rating in a research note on Thursday, December 18th. Truist Financial dropped their target price on Tesla from $439.00 to $438.00 and set a “hold” rating for the company in a report on Thursday, January 29th. Barclays restated a “neutral” rating on shares of Tesla in a report on Wednesday, March 4th. Mizuho set a $540.00 price objective on shares of Tesla and gave the company an “outperform” rating in a report on Thursday, January 29th. Finally, The Goldman Sachs Group reissued a “neutral” rating and issued a $405.00 target price on shares of Tesla in a research report on Thursday, January 29th. Nineteen research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and nine have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $406.84.

Tesla Price Performance

The company’s 50 day simple moving average is $420.92 and its 200 day simple moving average is $424.66. The company has a debt-to-equity ratio of 0.08, a current ratio of 2.16 and a quick ratio of 1.77. The company has a market capitalization of $1.47 trillion, a PE ratio of 362.22, a price-to-earnings-growth ratio of 12.06 and a beta of 1.89.

Tesla (NASDAQ:TSLA) last released its quarterly earnings data on Wednesday, January 28th. The electric vehicle producer reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.05. The company had revenue of $24.90 billion during the quarter, compared to the consensus estimate of $24.75 billion. Tesla had a net margin of 4.00% and a return on equity of 4.86%. Tesla’s revenue for the quarter was down 3.1% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.73 earnings per share. As a group, sell-side analysts predict that Tesla, Inc. will post 2.56 earnings per share for the current year.

Insider Buying and Selling at Tesla

In other news, Director Kathleen Wilson-Thompson sold 25,731 shares of the company’s stock in a transaction dated Wednesday, February 25th. The shares were sold at an average price of $415.56, for a total value of $10,692,774.36. Following the completion of the sale, the director directly owned 19,669 shares of the company’s stock, valued at approximately $8,173,649.64. This represents a 56.68% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director James R. Murdoch sold 60,000 shares of the firm’s stock in a transaction dated Friday, January 2nd. The stock was sold at an average price of $445.40, for a total value of $26,724,000.00. Following the transaction, the director directly owned 577,031 shares in the company, valued at approximately $257,009,607.40. This represents a 9.42% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 87,995 shares of company stock worth $38,315,650. 19.90% of the stock is owned by company insiders.

Hedge Funds Weigh In On Tesla

A number of hedge funds and other institutional investors have recently bought and sold shares of TSLA. Networth Advisors LLC purchased a new stake in Tesla in the 4th quarter valued at approximately $26,000. Chapman Financial Group LLC acquired a new stake in shares of Tesla in the 2nd quarter valued at approximately $26,000. Davidson Capital Management Inc. boosted its stake in shares of Tesla by 79.4% in the fourth quarter. Davidson Capital Management Inc. now owns 61 shares of the electric vehicle producer’s stock valued at $27,000 after buying an additional 27 shares in the last quarter. Manning & Napier Advisors LLC acquired a new position in Tesla during the third quarter worth $29,000. Finally, CoreFirst Bank & Trust purchased a new position in Tesla in the second quarter worth $30,000. 66.20% of the stock is currently owned by hedge funds and other institutional investors.

About Tesla

Tesla, Inc (NASDAQ: TSLA) is an American company that designs, manufactures and sells electric vehicles, energy generation and energy storage products. Founded in 2003 by Martin Eberhard and Marc Tarpenning, Tesla grew into a vertically integrated mobility and clean‑energy company with Elon Musk serving as its chief executive officer. The company’s stated mission is to accelerate the world’s transition to sustainable energy, reflected in its combined focus on electric drivetrains, battery technology, renewable energy products and software.

Tesla’s automotive business includes a lineup of battery‑electric vehicles and related services.