A beat on deliveries could be the next “positive catalyst” for Tesla Stock: analyst

Tesla (TSLA) shares are up over 50% year-to-date, but the stock is still recovering from a rough 2022. Dan Levy, Barclays Senior Autos Analyst joined Yahoo Finance to discuss what he thinks could be the next event that sends shares skyrocketing.

Levy told Yahoo Finance that he expects Tesla deliveries in Q1 to exceed the street’s consensus estimates saying, “we are forecasting 425,000 units of volume ahead of consensus 420,000 units.”

Tesla has been cutting prices to help boost the demand needed to reach new delivery targets. Analysts are watching to see how these cuts impact the company’s margins.

According to Levy, compared to other EV makers, Tesla is in a pretty good position. He told Yahoo Finance, “the key point for tesla is that because they have such a significant cost lead, it's only natural that they're going to use or lean into their margin advantage or their cost lead to unlock further volume."

Watch the full interview with Seana Smith and Dave Briggs here.

Key video moments:

00:00:18 On Tesla exceeding expectations

00:00:53 On price cuts impact on margins