Goldman Sachs Keeps ‘Neutral’ Rating on Tesla

Goldman Sachs analyst Mark Delaney reiterated on October 8, 2025, its $425 price target on Tesla, while maintaining a ‘Neutral’ rating on the stock.

“Tesla reported revenue/non-GAAP EPS of $28.1 bn/$0.50, which was 6% above/$0.06 below the Street (FactSet).

The automotive non-GAAP gross margin was 15.4%, below consensus at ~16%.

We think the 3Q report was mixed to slightly negative relative to some focus areas for investors.

While revenue and the overall gross margin were above consensus, we believe certain key KPIs (e.g. the non-GAAP automotive gross margin and non-GAAP EPS), and the timeframes management outlined for Optimus 3 to be unveiled and enter production, were somewhat below investor expectations.

We expect the stock to remain debated.

We expect a potentially volatile event path over the near to medium term for the stock, with investors likely to focus on the company’s 11/6 shareholder meeting, the potential to remove safety observers from robotaxis in Austin before year-end, 4Q automotive deliveries, and the unveil of Optimus 3 (which the company suggested could now occur in 1Q).

We remain Neutral rated on the stock.

Longer term, we expect Tesla to grow its EPS more meaningfully driven in part by larger contributions from autonomy and robotics, although our expectation for profits in these areas is more measured than the company is targeting.”

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