Gene Munster said improving demand, stronger value and growing interest in FSD could support faster delivery growth next year.
- Tesla delivered 486,532 vehicles in Q3, beating its company-compiled consensus of 461,974 units.
- Tesla produced 464,391 vehicles, including 457,387 Model 3 and Model Y vehicles.
- Tesla’s full Q3 financial results are due October 21.
Shares of Tesla (TSLA) jumped more than 5% on Friday after the EV maker’s third-quarter deliveries beat Wall Street estimates, with Deepwater Asset Management’s Gene Munster stating that the company appears to be regaining market share due to its value proposition and growing consumer interest in Full Self-Driving (FSD).
Tesla delivered 486,532 vehicles in the third quarter (Q3), with Model 3 and Model Y comprising 478,237 units. Tesla also produced 464,391 vehicles, including 457,387 Model 3 and Model Y vehicles. The result comfortably topped Tesla’s company-compiled analyst consensus of 461,974 deliveries.
How Q3 Compares With Previous Quarters
Deliveries increased about 1.3% sequentially, while production rose nearly 3%. However, Q3 deliveries were about 2% lower than last year, when Tesla recorded its highest quarterly deliveries. Production was higher than last year’s 447,450 vehicles.
Tesla also deployed 13.7 GWh of energy-storage products, up from 13.5 GWh in Q2 and 12.5 GWh a year earlier.
Gene Munster Expects 15% Growth In FY 2027 Deliveries
Gene Munster said Tesla’s deliveries are another sign that the “EV winter” may be starting to thaw. He noted that Tesla’s deliveries fell only about 2% year over year despite a tough comparison with last year’s U.S. tax-credit-driven demand, while the Street had expected a roughly 7% decline.
Munster said this, along with Tesla’s value proposition and growing interest in FSD, could support stronger 2027 deliveries, with growth above 15% versus the Street’s roughly 9% estimate.
“Why is TSLA gaining EV share again? 1. Best bang for the buck. 2. FSD is starting to play more into buying decisions. Both of these are long-term positives,” Munster said in a post on X.
Wall Street Had Been Divided
Expectations heading into the report varied widely. JPMorgan had forecast 482,000 deliveries, after cutting its previous estimate of 516,000, while Goldman Sachs lowered its forecast to 435,000 from 490,000. Barclays expected 475,000 vehicles, while StoneX projected 446,500.
Tesla will report its full Q3 financial results on October 21.
Retail’s Take On TSLA
Retail sentiment surrounding TSLA on Stocktwits turned ‘bullish’ from ‘neutral’ over the past 24 hours. TSLA was also among the top trending tickers on the platform.
One user believes the stock may retest its support before the next resistance at around $375. It is currently trading at around $372.
View this Stocktwits post
Despite today’s gains, TSLA stock is down around 15% so far this year and is easily the worst-performing stock among the Mag 7 companies.
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