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On Thursday, Goldman Sachs reiterated its Neutral rating on Tesla stock (NASDAQ:TSLA), maintaining a price target of $275.00. According to InvestingPro data, Tesla currently trades at a P/E ratio of 125.87x, significantly above industry averages. The firm’s analyst highlighted Tesla’s preliminary first-quarter vehicle deliveries and production figures, which showed a significant decline, amid a broader context where 14 analysts have recently revised their earnings estimates downward. The electric vehicle manufacturer reported about 337,000 deliveries, a decrease of 32% from the previous quarter and 13% year-over-year. Production also fell to approximately 363,000 vehicles, marking a 21% quarter-over-quarter and 16% year-over-year reduction.
These latest delivery numbers fell short of both consensus estimates, which were recently between 350,000 to 360,000 vehicles according to StreetAccounts, and more optimistic projections such as Visible Alpha’s 392,000 and Goldman Sachs’s own earlier estimate of 375,000. The shortfall was attributed to less robust sales in Europe and the U.S., contrary to expectations that a strong March driven by the new Model Y ramp would boost figures. With gross profit margins at 17.86% and annual revenue of $97.69 billion, Tesla’s operational metrics are closely watched by investors. For deeper insights into Tesla’s financial health and valuation metrics, InvestingPro subscribers have access to over 30 additional key metrics and analysis.
Goldman Sachs had previously lowered its first-quarter estimate for Tesla on March 4 to 375,000 from a consensus at the time of 426,000, citing the need for a significant March performance which did not materialize. Following the reported delivery and production numbers, the firm has adjusted its estimates and price target for Tesla.
The analyst pointed out that investors are now likely to focus on when Tesla’s automotive business will return to growth and how margins will be affected by tariffs. Additionally, there is interest in the company’s AI-enabled projects, including robotaxis, Full Self-Driving (FSD) capabilities, and the Optimus robot. With Tesla’s next earnings report scheduled for April 29, investors seeking comprehensive analysis can access the detailed Pro Research Report available on InvestingPro, which includes in-depth valuation metrics, growth projections, and expert insights on Tesla’s competitive position in the evolving automotive market.
In other recent news, Tesla has reported first-quarter deliveries of 336,681 vehicles, which fell short of analysts’ expectations of 377,000. This shortfall prompted Truist Securities to lower its price target for Tesla stock to $280, maintaining a Hold rating, while CFRA adjusted its target to $360, keeping a Buy rating. The delivery figures also led to revised earnings per share estimates, with CFRA setting them at $2.45 for 2025 and $3.60 for 2026. Despite the delivery challenges, Tesla’s energy storage business performed robustly, with deployments rising over 150% year-over-year to 10.4 gigawatt-hours. Canaccord Genuity, however, maintained a Buy rating with a $404 price target, noting strong demand for the new Model Y and upcoming product launches. Meanwhile, Lucid Group (NASDAQ:LCID) is facing delays in the delivery of its Gravity SUV due to safety testing issues, particularly with third-row seating. Interim CEO Marc Winterhoff indicated that deliveries might begin by the end of April, but significant production is not expected until June or July. Investors are closely watching Lucid’s ability to meet production targets amid these challenges.
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