Tesla Inc (NASDAQ:TSLA) delivered uninspiring third-quarter delivery numbers earlier this month, and its shares are down 4.4% Wednesday afternoon with results coming after the bell — but that hasn't stopped Wedbush analysts from looking ahead to a potential fourth-quarter rally.
The firm reiterated its Outperform rating and $350 price target. Shares of Tesla traded 1.1% higher Monday to $253.92.
The Street consensus for Tesla is revenue of $24.16 billion and earnings of $0.74 per share, compared to $21.45 billion and earnings of $0.95 per share.
Beyond the results themselves, investors will be "laser focused on the margin performance and overall outlook for 4Q,” the analysts wrote Monday.
Specifically, traders will be watching for updates on the Model 3 and Cybertruck production. Wedbush expects the Cybertruck to be available to customers in November or December, which is already a delay from its previous projection of around Halloween.
"While the macro is clearly not roses and rainbows we believe Tesla's demand story has stabilized at current price levels with a focus on a strong 4Q ahead," analysts wrote.
On that front, Tesla told investors it produced 430,488 vehicles in the third quarter, delivering 435,059 units — that marked deliveries around 30% stronger than this time last year but came up short of the 461,000 expected by the market.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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