Tesla (TSLA) Expected to Beat Earnings Estimates: Should You Buy?

Core Viewpoint - Tesla is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ended September 2025, with the actual results being a significant factor influencing its near-term stock price [1][2]. Financial Expectations - The consensus EPS estimate for Tesla is $0.52 per share, reflecting a year-over-year decrease of 27.8%. Revenues are projected to be $26.27 billion, which is a 4.3% increase from the previous year [3]. - The consensus EPS estimate has been revised down by 1.45% over the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Potential - Tesla's Most Accurate Estimate is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +10.08%, suggesting a bullish outlook from analysts [12]. - The stock currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, Tesla was expected to post earnings of $0.39 per share but exceeded this with actual earnings of $0.40, resulting in a surprise of +2.56% [13]. - Over the past four quarters, Tesla has beaten consensus EPS estimates two times [14]. Industry Comparison - General Motors is expected to report earnings per share of $2.25 for the same quarter, indicating a year-over-year decline of 24%. Revenues are projected to be $44.19 billion, down 9.4% from the previous year [18][19]. - General Motors has seen a 4.7% upward revision in its consensus EPS estimate over the last 30 days, resulting in an Earnings ESP of +5.2% [19].