Tesla’s (TSLA) “Outperform” Rating Reaffirmed at Royal Bank Of Canada

Posted by Brenda Bartman on Oct 22nd, 2026

Tesla (NASDAQ:TSLA – Get Free Report)‘s stock had its “outperform” rating restated by equities research analysts at Royal Bank Of Canada in a research note issued to investors on Thursday, Benzinga reports. They currently have a $480.00 price target on the electric vehicle producer’s stock. Royal Bank Of Canada‘s target price indicates a potential upside of 27.31% from the stock’s previous close.

A number of other analysts also recently commented on TSLA. Robert W. Baird set a $475.00 price objective on Tesla in a research report on Monday, July 27th. Mizuho raised their price objective on Tesla from $450.00 to $460.00 and gave the stock an “outperform” rating in a research report on Thursday. The Goldman Sachs Group reiterated a “neutral” rating on shares of Tesla in a research report on Thursday. KeyCorp upgraded Tesla to a “sector weight” rating in a research report on Monday, September 28th. Finally, Jefferies Financial Group reiterated a “hold” rating and issued a $400.00 price objective (up from $350.00) on shares of Tesla in a research report on Monday, October 12th. One investment analyst has rated the stock with a Strong Buy rating, twenty-four have issued a Buy rating, twenty have assigned a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, Tesla presently has a consensus rating of “Hold” and an average price target of $408.61.

Check Out Our Latest Stock Analysis on TSLA

Tesla Stock Performance

NASDAQ:TSLA traded down $9.43 during mid-day trading on Thursday, hitting $377.05. 42,265,750 shares of the company’s stock traded hands, compared to its average volume of 50,588,195. The firm has a 50 day moving average of $362.72 and a two-hundred day moving average of $377.16. Tesla has a 12 month low of $297.38 and a 12 month high of $498.83. The firm has a market capitalization of $1.49 trillion, a price-to-earnings ratio of 349.13, a price-to-earnings-growth ratio of 23.73 and a beta of 1.92. The company has a current ratio of 1.94, a quick ratio of 1.55 and a debt-to-equity ratio of 0.09.

Tesla (NASDAQ:TSLA – Get Free Report) last announced its earnings results on Thursday, October 22nd. The electric vehicle producer reported $0.48 earnings per share for the quarter, beating the consensus estimate of $0.45 by $0.03. The firm had revenue of $28.05 billion during the quarter, compared to the consensus estimate of $28.06 billion. Tesla had a return on equity of 3.82% and a net margin of 3.67%. The firm’s revenue for the quarter was down .2% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.50 EPS. On average, equities analysts forecast that Tesla will post 0.71 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Vaibhav Taneja sold 2,606 shares of the stock in a transaction that occurred on Tuesday, September 8th. The stock was sold at an average price of $360.13, for a total value of $938,498.78. Following the completion of the transaction, the chief financial officer directly owned 25,972 shares of the company’s stock, valued at approximately $9,353,296.36. This represents a 9.12% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 19.90% of the company’s stock.

Hedge Funds Weigh In On Tesla

A number of hedge funds have recently modified their holdings of the stock. Peirce Capital Management LLC raised its holdings in shares of Tesla by 1.5% in the 2nd quarter. Peirce Capital Management LLC now owns 1,657 shares of the electric vehicle producer’s stock worth $697,000 after buying an additional 25 shares in the last quarter. Retirement Planning Group LLC NY raised its holdings in shares of Tesla by 3.8% in the 1st quarter. Retirement Planning Group LLC NY now owns 713 shares of the electric vehicle producer’s stock worth $265,000 after buying an additional 26 shares in the last quarter. Phillip James Consulting Co. raised its holdings in shares of Tesla by 8.7% in the 1st quarter. Phillip James Consulting Co. now owns 326 shares of the electric vehicle producer’s stock worth $121,000 after buying an additional 26 shares in the last quarter. Cadence Wealth Management LLC increased its holdings in Tesla by 4.7% during the 1st quarter. Cadence Wealth Management LLC now owns 580 shares of the electric vehicle producer’s stock valued at $216,000 after purchasing an additional 26 shares in the last quarter. Finally, Crumly & Associates Inc. increased its holdings in Tesla by 0.6% during the 2nd quarter. Crumly & Associates Inc. now owns 4,698 shares of the electric vehicle producer’s stock valued at $1,976,000 after purchasing an additional 26 shares in the last quarter. 66.20% of the stock is owned by institutional investors and hedge funds.

More Tesla News

Here are the key news stories impacting Tesla this week:

Positive Sentiment: Q3 earnings and cash flow exceeded expectations. Tesla reported adjusted EPS of $0.48 versus the $0.45 consensus estimate and generated approximately $1.5 billion in free cash flow, a significant improvement over expectations for a cash outflow. Musk’s Tesla revenue beats estimates as deliveries rebound, energy storage grows
Positive Sentiment: Full Self-Driving adoption and services are expanding. More than 75% of new North American deliveries included paid FSD, while subscriptions reportedly rose 67% year over year. Services revenue also grew sharply, supporting Tesla’s long-term software and autonomy narrative. Tesla’s FSD Subscriptions Surge 67% even as Car Deliveries Decline
Positive Sentiment: Analysts raised several price targets. Mizuho lifted its target to $460 with an outperform rating, while JPMorgan raised its target to $430 but maintained a neutral view. Bulls continue to cite FSD, robotaxis, Optimus and energy storage as potential growth drivers.
Neutral Sentiment: SpaceX merger speculation remains a major valuation catalyst. Independent committees at Tesla and SpaceX are evaluating a possible combination, which could provide access to AI, chips, robotics and space infrastructure. However, valuation, regulatory approval, China operations, shareholder approval and potential dilution make the outcome highly uncertain. Musk’s public endorsement of SpaceX-Tesla deal may throw a wrench in talks
Negative Sentiment: Core financial results remained under pressure. Revenue was essentially flat year over year at about $28.05 billion, vehicle revenue declined, and operating income fell 56%. Tesla’s valuation—near 350 times earnings—leaves little room for disappointing auto growth or margin compression.
Negative Sentiment: The 2026 capital-spending forecast was cut to $20 billion from roughly $25 billion. Investors interpreted the reduction as a possible sign that Tesla is slowing its AI, robotics and autonomous-driving buildout, while Musk also indicated that Optimus will take longer to scale. Tesla drops as spending pullback clouds AI, robotics ambitions

Tesla Company Profile

(Get Free Report)

Tesla, Inc is an electric vehicle and clean energy company headquartered in Austin, Texas. Founded in 2003, the company designs, manufactures and sells electric vehicles, including the Model S, Model 3, Model X, Model Y and Cybertruck. Tesla also develops vehicle software, driver-assistance features and related services intended to support the operation and ownership of its vehicles.

Beyond automobiles, Tesla produces energy storage products for residential, commercial and utility-scale applications, including the Powerwall and Megapack.