Tesla revs up for action-packed October with Q3 deliveries, Robotaxi event ahead

Tesla Inc (NASDAQ:TSLA ) is set to kick start an action-packed October with third-quarter deliveries next week and Robotaxi event later this month that some on Wall Street believe will show the EV maker is making big strides to turnaround performance.

"We believe this 3Q deliveries print could be a major step back in the right direction with the turnaround story underway fueled by a strengthening backdrop and key innovations in AI/FSD space propelling the company forward," Wedbush analyst Daniel Ives said in a Friday note.

Tesla is expected to report Q3 deliveries next week, likely on Wednesday morning. Wall Street expects deliveries of about 462,000 units, though some are forecasting deliveries to top 470,000.

The EV maker's Q3 performance is expected to show signs of improvement following a bumpy first half of the year, in which demand was curtailed by China weakness.  

China, however, is expected to be the "star of the show" for Tesla in Q3, Wedbush says, driven by pent-up demand and favorable leasing and financing terms.  

But not everyone on Wall Street shares the same level of optimism on Tesla's deliveries. 

Analysts at Deutsche Bank said they expects the EV maker at least meet Wall Street expectations, forecasting deliveries of about 462,000 units in Q3. The analysts also believe that Tesla's margins for the rest of the year could be "flattish to down," with U.S. and Europe deliveries weighed down by import tariffs, and higher Cybertruck sales.     

Looking ahead to the Q4, Tesla's Robotaxi event on Oct. 10 will garner investor attention, with many keen for updates on the company's full self-driving technology, artificial intelligence, and future plans.

Wedbush's Ives, who will be attending the event, believes the "next phase of the Tesla growth story is around autonomous, Robotaxis, and AI playing out for the Tesla ecosystem over the coming year."

Deutsche Bank appears to agree, flagging the event as a potential "catalyst for the stock."  "We expect Tesla to showcase its latest FSD capabilities and provide an update on its Robotaxi plans," it added.

Both Wedbush and Deutsche Bank maintain a buy rating on Tesla stock, with price targets of $300 and $295, respectively. 

Source: Investing.com