Tesla Stock Just Became A Buy Again, Finally: Expert

Core Viewpoint - A notable shift in sentiment towards electric vehicles (EVs) is occurring on Wall Street, with Tesla, Inc. (TSLA) expected to experience a breakout in stock price due to a combination of technical factors and improving market sentiment [1]. Technical Analysis - Tesla has established a strong technical base characterized by a series of higher lows in recent weeks, maintaining its 200-day moving average, which has attracted traders' interest [2]. - The stock has seen a rally, gaining over 12% in just the last two days [2]. Catalysts - The upcoming third-quarter deliveries report, scheduled for October 2, is anticipated to be a significant catalyst for Tesla's stock price. The consensus estimate for Q3 deliveries is conservative, positioned at the lower end of historical ranges [3]. - There is potential for a positive surprise in the delivery report, as demand may have been pulled forward due to expiring EV credits on September 30, leading Wall Street to possibly underestimate the quarter's performance [3][4]. Market Sentiment - Sentiment around Tesla and the EV sector is shifting positively after a period of skepticism regarding Tesla's growth trajectory [5]. - The alignment of Tesla's technical setup with a likely interest rate cut next week, combined with traders being underweight ahead of the Q3 delivery report, suggests a favorable risk-reward scenario for the stock [5][6].