Tesla (NYSE:TSLA) is moving higher and Goldman Sachs was touting call options ahead of the October events.
TSLA – Daily Chart
The price of TSLA shares is now $260.50 after retaking the downtrend resistance line. The target on the upside would be $300 with some resistance just ahead around the $270 level.
Goldman Sachs recently focused its attention on Tesla, highlighting some key events in October that could boost the stock. Analyst John Marshall from Goldman’s derivatives research team suggested that investors could buy call options to take advantage of potential upside price movements.
The events, including the release of third-quarter delivery numbers and a much-anticipated robotaxi event, are seen as pivotal for the company’s future path.
Goldman Sachs Automobiles analyst Mark Delaney expects “the company’s technology and business outlook for Full Self Driving (FSD)/Robotaxis to be a prominent part of the event. On 2-Oct the company is also expected to report 3Q24 deliveries and production data which Mark estimates to come in-line with Visible Alpha consensus at ~460k”.
Goldman’s optimistic outlook comes after Tesla’s stock has been under scrutiny due to production concerns and competition in the EV space, particularly in China, where sales have also faltered.
The upcoming events could provide investors with the clarity to start betting on Tesla’s growth prospects once more.
Tesla’s quarterly delivery numbers next week have analysts forecasting record third-quarter sales, driven by a demand rebound in China. FactSet’s estimates suggest that Tesla will deliver 461,000 vehicles in the quarter, marking a 6% year-on-year growth.
Meanwhile, Barclays raised its forecast to 470,000, suggesting an 8% annual rise and a 10% increase from the second quarter. Stronger sales in China are expected to cover for weaker sales in the United States and Europe.
Investors were bearish on Tesla after Elon Musk delayed the robotaxi announcement. However, the billionaire founder has a chance to clear up any confusion over the prospects for self-driving taxis.
