Tesla(US:TSLA) Minsheng Securities·2025-07-27 13:26Investment Rating - The report maintains a "Recommended" rating for the company, indicating an expected stock price increase of over 15% relative to the benchmark index within the next 12 months [7][13]. Core Insights - The company reported a total global delivery of 384,000 vehicles in Q2 2025, representing a year-on-year decline of 13.5% but a quarter-on-quarter increase of 14.1% [3][4]. - Total revenue for Q2 2025 was $22.5 billion, down 11.8% year-on-year but up 16.3% quarter-on-quarter, with automotive revenue at $16.66 billion, reflecting a year-on-year decrease of 16.2% but a quarter-on-quarter increase of 19.3% [3][4]. - The net profit for Q2 2025 was $1.17 billion, with a non-GAAP net profit of $1.39 billion, showing a year-on-year decline of 23.1% but a quarter-on-quarter increase of 49.1% [3][4]. Revenue and Profitability - The company's total revenue decreased primarily due to a decline in vehicle sales and reduced income from new energy credits, while the average selling price (ASP) per vehicle increased to $42,200, driven by changes in product sales mix [4][5]. - The automotive business gross margin (excluding new energy credits) was 15.0%, showing a year-on-year increase of 0.3 percentage points and a quarter-on-quarter increase of 2.5 percentage points [5]. - Research and development expenses rose to $1.59 billion in Q2 2025, a year-on-year increase of 48.0%, with a research expense ratio of 7.1% [6]. Production Capacity and Developments - The company's total production capacity exceeds 2.35 million vehicles, with specific capacities for various models detailed [8]. - Full Self-Driving (FSD) technology is being expanded, with plans for Robotaxi services in multiple regions, and the Optimus robot is expected to enter mass production next year [9][10]. - The company is diversifying its product lineup with new, more affordable models expected to ramp up production in Q4 2025 [9][10]. Investment Recommendations - The report suggests focusing on companies within the intelligent driving and robotics sectors, highlighting specific companies for investment opportunities [10]. - It emphasizes the potential for growth in the supply chain related to new energy vehicles and intelligent electric vehicles, recommending various suppliers and manufacturers [10].