Tesla (NASDAQ:TSLA) Receives "Buy" Rating from Royal Bank Of Canada

Key Points

• Royal Bank of Canada reiterated a "Buy" on Tesla, but Wall Street is split — 18 analysts rate Buy, 15 Hold and 8 Sell, leaving an average rating of "Hold" and an average price target of $398.42.
• Tesla beat Q1 EPS estimates ($0.41 vs. $0.39) but reported revenue of $22.39 billion that missed expectations and a 3.95% net margin, while investor concerns have risen over a reported ~$25 billion CapEx plan and a widening production‑to‑delivery gap.
• Insiders have been net sellers recently (a director sold 25,809 shares) with 53,804 shares sold worth about $20.9 million over the last three months, even as institutional investors hold roughly 66% of the stock.

Tesla (NASDAQ:TSLA - Get Free Report)'s stock had its "buy" rating restated by research analysts at Royal Bank Of Canada in a report released on Monday,MarketScreener reports.

Several other equities analysts have also issued reports on TSLA. Roth Mkm reissued a "buy" rating on shares of Tesla in a report on Thursday. Stifel Nicolaus set a $508.00 price target on Tesla in a research report on Thursday, January 29th. Weiss Ratings reissued a "hold (c-)" rating on shares of Tesla in a research report on Tuesday, January 27th. Jefferies Financial Group reiterated a "neutral" rating on shares of Tesla in a research note on Wednesday, April 22nd. Finally, Truist Financial cut their price target on shares of Tesla from $438.00 to $400.00 and set a "hold" rating on the stock in a report on Thursday, April 2nd. Eighteen investment analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and eight have issued a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and an average price target of $398.42.

Tesla Price Performance

TSLA opened at $368.07 on Monday. The company has a market capitalization of $1.38 trillion, a price-to-earnings ratio of 342.77, a PEG ratio of 13.29 and a beta of 1.91. The company has a current ratio of 2.04, a quick ratio of 1.62 and a debt-to-equity ratio of 0.09. Tesla has a 12-month low of $270.78 and a 12-month high of $498.83. The business's fifty day simple moving average is $385.94 and its 200-day simple moving average is $420.54.

Tesla (NASDAQ:TSLA - Get Free Report) last released its quarterly earnings data on Wednesday, April 22nd. The electric vehicle producer reported $0.41 earnings per share for the quarter, topping analysts' consensus estimates of $0.39 by $0.02. The company had revenue of $22.39 billion during the quarter, compared to analyst estimates of $22.96 billion. Tesla had a net margin of 3.95% and a return on equity of 4.89%. The firm's revenue for the quarter was up 15.8% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.27 earnings per share. On average, equities research analysts anticipate that Tesla will post 1.35 earnings per share for the current fiscal year.

Insider Buying and Selling at Tesla

In related news, Director Kathleen Wilson-Thompson sold 25,809 shares of Tesla stock in a transaction dated Monday, March 30th. The stock was sold at an average price of $359.33, for a total transaction of $9,273,947.97. Following the completion of the sale, the director owned 33,860 shares of the company's stock, valued at $12,166,913.80. The trade was a 43.25% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Vaibhav Taneja sold 2,264 shares of the stock in a transaction that occurred on Friday, March 6th. The stock was sold at an average price of $397.03, for a total transaction of $898,875.92. Following the completion of the transaction, the chief financial officer owned 18,106 shares in the company, valued at approximately $7,188,625.18. This trade represents a 11.11% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 53,804 shares of company stock worth $20,865,598. 19.90% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Eagle Bay Advisors LLC lifted its holdings in shares of Tesla by 1.1% in the 1st quarter. Eagle Bay Advisors LLC now owns 24,805 shares of the electric vehicle producer's stock valued at $9,221,000 after buying an additional 275 shares during the period. Boston Trust Walden Corp boosted its position in Tesla by 183.7% in the 1st quarter. Boston Trust Walden Corp now owns 9,603 shares of the electric vehicle producer's stock worth $3,570,000 after purchasing an additional 6,218 shares in the last quarter. Keybank National Association OH grew its stake in shares of Tesla by 24.5% during the 1st quarter. Keybank National Association OH now owns 66,692 shares of the electric vehicle producer's stock worth $24,793,000 after purchasing an additional 13,144 shares during the period. GPM Growth Investors Inc. purchased a new position in shares of Tesla during the 1st quarter valued at approximately $2,000,000. Finally, Stevens Capital Partners lifted its stake in shares of Tesla by 26.9% in the 1st quarter. Stevens Capital Partners now owns 3,758 shares of the electric vehicle producer's stock valued at $1,397,000 after purchasing an additional 797 shares during the period. 66.20% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Tesla

Here are the key news stories impacting Tesla this week:

• Positive Sentiment: Q1 EPS beat and improving per‑vehicle profitability eases near‑term earnings concerns. Tesla Just Solved Its Second-Biggest Problem
• Positive Sentiment: Cybercab reportedly entering production — a tangible execution milestone that supports Tesla’s autonomous/robotaxi roadmap if regulators and demand cooperate. Better Later Than Never? Tesla Stock Hangs in the Crosshairs as Cybercab Finally Enters Production
• Positive Sentiment: Bullish institutional voices argue heavy CapEx is a necessary step to morph Tesla into a "physical AI" leader — supportive for long‑term growth narratives. Dan Ives: Tesla Is ‘Morphing into a Physical AI Stalwart’ So Don’t Sweat the CapEx and Just Buy TSLA Stock
• Neutral Sentiment: Wall Street is split — new analyst targets span roughly $220 to $428, reflecting wide disagreement on valuation and timing of future revenue streams. Wall Street Can't Agree on Tesla: New Analyst Targets Range From $220 to $428
• Neutral Sentiment: Speculation around a potential SpaceX–Tesla tie or other Musk‑led restructurings keeps optionality on the table but also raises strategic uncertainty. Ross Gerber Thinks Elon Musk's SpaceX, Tesla Could Create 'Berkshire Hathaway Of AI'
• Neutral Sentiment: Regulatory/market structure commentary (e.g., SEC on short‑termism) suggests part of the debate is about investor time horizons rather than fundamentals alone. The SEC fears we're trapped in short-term thinking. Tesla and Amazon prove investors play the long game.
• Negative Sentiment: Investors reacted badly to reports of a roughly $25 billion CapEx plan and the widest production‑to‑delivery gap since 2019 — higher spending plus delivery slippage strains near‑term margins and cash deployment expectations. Tesla (TSLA) Stock Drops as $25B Spending Plan Alarms Investors Despite Q1 Earnings Beat
• Negative Sentiment: Criticism of Tesla’s FSD progress and shifts away from high‑margin Model S/X raise concerns about execution risk and whether Tesla can convert its AI bets into predictable revenue. Analyst Questions Why Tesla's 90% Value Hasn't Evaporated Following Elon Musk's FSD Admission: 'It's Astonishing…'

Tesla Company Profile

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.

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