Wedbush Maintains $600 Price Target on Tesla
Wedbush analyst Daniel Ives reiterated on October 23, 2025, Tesla’s $600 price target and ‘Outperform’ rating.
“Tesla reported its FY3Q25 results featuring beats on the top-line while missing bottom-line expectations as the company benefitted from a pull-forward in its delivery segment with greater strength across EMEA and APAC while making gradual progress with its autonomous and energy businesses.
Total revenues came in at $28.09 billion, well above the Street’s $26.33 billion estimate with automotive revenues coming in at $21.21 billion as the company’s new models continue to gain traction across new and core markets while looking to reaccelerate deliveries after launching multiple new vehicles across its markets including the Model YL in China and the updated 3 & Y Standard models across the US and Europe.
Energy Generation and Storage revenues came in at $3.41 billion (up 44% y/y) above the Street’s $3.20 billion estimate as the company’s energy storage deployments continue to increase with the launch of Megapack 3 and Megablock for simplified battery installations to reduce costs leading to $1.1 billion in energy gross profit.
Operating margin came in at 5.8% above the prior period of 4.1% while EPS came in at $0.50 slightly below the Street’s $0.56 estimate and free cash flow came in at $3.99 billion (up 46% y/y) well above the Street’s estimate of $922.8 million despite seeing ~$400 million tariff costs across its businesses as the company’s strong deliveries and higher margin businesses drove successful margin expansion and cash generation.
We note that the company will vote (we believe will be approved by a wide margin despite some opposition) on Musk’s pay package at the November 6th shareholder meeting which will be incremental to keeping Musk as a war-time CEO as the company enters a critical inflection point.”
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