Earnings Preview | Tesla's Q3 earnings report is imminent, with AI and Robotaxi expected to be the market focus again

According to the Zhitong Finance APP, Tesla (TSLA.US) will announce its Q3 2025 earnings after the U.S. stock market closes this Wednesday. For several financial metrics, Wall Street analysts predict Tesla's Q3 revenue will be $26.6 billion, operating profit will be $1.58 billion, automotive gross margin will be 15.9%, earnings per share will be $0.55, and free cash flow will be $1.1 billion.

Data released by Tesla earlier this month showed that the company delivered 497,099 vehicles in the third quarter, setting a quarterly delivery record and exceeding market expectations of 448,000 vehicles, as buyers rushed to purchase cars before tax credits expired.

The latest earnings call for Tesla is expected to once again focus on artificial intelligence supercomputing systems and autonomous driving. Elon Musk and other Tesla executives have remained relatively silent about the progress of launching autonomous driving taxis (Robotaxi) in Austin. However, as Tesla observers have discovered new recruitment information for auxiliary autonomous driving (Autopilot) and fully autonomous taxi (robotaxi) operators in Colorado (Aurora/Denver area) and Illinois (Chicago), there may be some details worth noting regarding Tesla's expansion.

Investors will also be looking for updates on Tesla's plans to launch the CyberCab and RoboVan, two dedicated autonomous vehicles independent of Tesla's existing models. While Tesla has recently launched cheaper Model Y and Model 3 vehicles, if this long-awaited affordable electric vehicle for the mass market is still on the way, analysts may attempt to pressure Musk.

Dan Ives, a senior analyst at Wedbush known as the "Tesla super bull," recently raised Tesla's target price significantly to $600 and maintained an "outperform" rating. Ives' core logic is also based on future prospects rather than electric vehicle delivery volumes, primarily focusing on the accelerated development of Tesla's artificial intelligence and the imminent key breakthroughs.

Ives pointed out that the market severely underestimates Tesla's transformation potential—specifically, that the FSD autonomous driving and robotics technology based on AI supercomputing systems will become a core strategic pillar by 2026, and Tesla's "game-changing factors" in AI and robotics will directly determine the company's future direction.

Ives' team estimates that the AI-based FSD autonomous driving sector alone will contribute at least $1 trillion in market value to Tesla, and during the remaining year of the Trump administration, Tesla's core projects surrounding FSD are expected to accelerate, as the federal regulatory "spider web" that has entangled the company for the past few years is anticipated to be dismantled more quickly. Ives' team believes that in a bullish scenario, Tesla's market value could reach $2 trillion as early as early 2026, and by the end of the year, with large-scale production of autonomous driving and robotics, it could further rise to $3 trillion.

Another Wall Street financial giant, Morgan Stanley, even views "Tesla Mobility/Robotaxi" as a core profit pool for this electric vehicle leader in the medium to long term; it is expected that by 2040, Tesla's automated mobility fleet could reach approximately 7.5 million vehicles, with revenue per mile of about $1.46 and an EBITDA margin of about 29%Based on the strong growth expectations brought by Robotaxi and Optimus robots, Morgan Stanley's long-term "bull case scenario" target price for Tesla is set at $800 per share