Tesla Analyst Turns Bullish Following Factory Visit, Sees Multiple Catalysts Driving EV Stock To $425

Cantor Fitzgerald is turning bullish on Tesla Inc TSLA following a visit to the company’s headquarters.

What To Know: Cantor Fitzgerald analyst Andres Sheppard upgraded Tesla from Neutral to Overweight and maintained a price target of $425 on Wednesday, a day after visiting Tesla’s Austin Gigafactory and the company’s AI data centers.

With Tesla shares down about 45% year-to-date, Sheppard sees an attractive entry point ahead of several material catalysts including the Robotaxi segment introduction, the rollout of Full Self-Driving, a lower-priced vehicle, Optimus bot production and the introduction of the Tesla Semi.

The Cantor Fitzgerald analyst expects the introduction of the company’s Robotaxi segment in June, followed by the rollout of FSD in China, which has already begun, and the rollout of FSD in Europe, which is expected in the first half of the year. Sheppard also expects Tesla to introduce a lower-priced vehicle around $30,000 including tax credits in the first half of 2025.

Looking further out, the analyst expects high-volume production of Optimus in 2026 and initial deliveries in the first half of the year. Sheppard also expects Tesla stock to get a lift from production of the Tesla Semi, which is expected to start in the second half of 2025 or 2026.

“Overall we are bullish after our factory visit, and after the recent market selloff and share underperformance. We see future revenue upside from FSD, Robotaxi, Energy Storage & Deployment, and Optimus Bots, to be fundamental to TSLA’s thesis over the long term,” Sheppard said.

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Although the Cantor Fitzgerald analyst is turning bullish, he still anticipates some near-term softness, calling for a “mild” first quarter from the EV maker, driven by lower demand in Europe and increased competition in China, as well as some negative sentiment surrounding CEO Elon Musk’s polarizing political stance.

Sheppard also expects Tesla’s automotive business growth to be partially offset by tariffs and the “likely removal” of the EV tax credit.

Cantor Fitzgerald lowered its full-year 2025 delivery estimates from approximately 2 million to approximately 1.9 million and cut its 2026 estimates from approximately 2.39 million to approximately 2.33 million. The analyst firm also cut its full-year 2025 revenue estimates from $115.7 billion to $107.4 billion and 2026 revenue estimates from $148.3 billion to $141 billion.

Tesla isn’t due to report quarterly results again until late April. Consensus estimates currently call for earnings of 53 cents per share and revenue of $24.52 billion, according to Benzinga Pro.

TSLA Price Action: Tesla shares were up 2.58% at $231.27 at the time of publication Wednesday, according to Benzinga Pro.

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Photo: courtesy of Tesla.