Tesla (TSLA) Shares Surge 3.66% on Q3 Earnings Beat, Institutional Optimism Grows

Tesla shares surged 3.66% in pre-market trading on November 11, 2025, signaling renewed investor confidence in the electric vehicle manufacturer. The move positioned the stock above its 50-day moving average of $423.19, suggesting short-term momentum.

Recent institutional activity highlights shifting ownership dynamics, with hedge funds and institutional investors collectively holding 66.20% of Tesla’s outstanding shares. Analysts have revised price targets upward, including a $505.00 target from Roth Capital and a $485.00 target from Mizuho, reflecting optimism about the company’s growth trajectory. Despite insider sales in recent months, corporate insiders still maintain a 19.90% stake, underscoring long-term alignment with stock performance.

Q3 earnings results, released on October 23, reinforced bullish sentiment. The company reported $0.50 earnings per share, exceeding estimates by $0.02, while revenue rose 11.6% year-over-year to $28.10 billion. A net margin of 5.51% and return on equity of 6.61% further demonstrated operational resilience. However, earnings are projected to decline to $2.56 per share for the current fiscal year compared to $0.72 in the same period last year.

Technical indicators suggest a potential continuation of the upward trend. The stock’s 200-day moving average at $357.59 remains a critical support level, while the $445.23 opening price indicates a break above key resistance. A sustained close above this threshold could trigger broader market participation.

Backtest assumptions for a long-position strategy would prioritize entry points near the 50-day moving average, with stop-loss levels set below the 200-day average to mitigate downside risk. Position sizing should account for Tesla’s high beta of 2.06, which amplifies volatility relative to the broader market.