Tesla’s stock (NASDAQ: TSLA) has dropped nearly 50% from its highest point in December, but things might be about to change. Even though the stock fell hard, it has been showing signs of strength lately and now analysts are expecting a possible 40% bounce back.
The price closed near $254 on Tuesday, which is part of a quiet comeback happening under the radar. Tesla has twice bounced off the $220 level, creating what’s known in technical terms as a “double bottom.” This can be an early sign that the stock is building strength to go higher. On the technical side, the Relative Strength Index (RSI) has been moving up from the oversold zone. That’s usually a good sign. And with Tesla’s earnings report just around the corner, momentum is building fast.
Wall Street Analysts Are Still Bullish
In the past few days, big-name analysts from Mizuho Securities, Wedbush and Benchmark have all repeated their positive views on Tesla. Their price targets now range between $315 and $375. That means they see up to a 50% gain from where the stock is right now.
Even though all three firms slightly lowered their targets, they still rate the stock as a “Buy” or “Outperform,” showing they believe Tesla remains a strong player in the EV space.
Why Did Mizuho Adjust Their Forecast?
Mizuho gave investors an updated view of what to expect from Tesla. They now forecast Tesla’s revenue for Q1 2025 to be $20.53 billion, and earnings per share (EPS) to be $0.51 both slightly lower than before. For the full year, their new expectations are $101.03 billion in revenue and $2.60 EPS, down from earlier estimates of $108.03 billion and $2.89, respectively.
The changes are based on slower delivery expectations and more competition in the global electric vehicle market, especially in Europe and China. They now think Tesla will deliver 2 million vehicles in 2026, which is less than the earlier estimate of 2.3 million. Still, Mizuho believes Tesla is the EV leader in the U.S. and is confident about the company’s future, especially in areas like autonomous driving, affordable EV models, and profit growth from software.
