Tesla Leads Trading Volume with $30.74 Billion as Analysts Remain Cautious Ahead of Earnings

On July 18, 2025, Tesla (TSLA) saw a trading volume of $30.74 billion, making it the most traded stock of the day. The company's shares rose by 3.21%.

Analysts have expressed caution regarding Tesla ahead of its upcoming earnings report. Baird reiterated a "Neutral" rating on the stock, citing potential risks to earnings estimates. The firm's concerns stem from various factors that could impact Tesla's financial performance.

Tesla's stock has a "Hold" rating consensus among analysts, reflecting a mix of optimism and skepticism. While there is long-term confidence in the company's innovation pipeline, current sentiment is somewhat subdued. This cautious outlook is further supported by predictions that Tesla's stock may underperform the broader market over the next 12 months.

Expectations for Tesla's second-quarter earnings are modest. Analysts anticipate a 23% decline in earnings per share and a 12% drop in revenue, with global vehicle sales expected to decrease. This pessimistic outlook is echoed by UBS analysts, who maintain a bearish stance on Tesla, labeling the stock as "fundamentally overvalued" with a target price significantly lower than its recent trading levels.

Despite the cautious sentiment, there are also positive developments. Cathie Wood, a prominent investor, recently purchased $36 million worth of Tesla shares ahead of the earnings report. This move suggests that some investors remain bullish on the company's long-term prospects, despite the near-term challenges.