09:28 AM EDT, 10/20/2025 (MT Newswires) -- Tesla (TSLA) is expected to provide "positive commentary around more stable demand" for its cars going into year end when the company reports Q3 results, Wedbush said in a Monday research note.

For Q3, Wedbush said Wall Street expectations of about $26 billion in total revenue are "achievable" due to strength across EV deliveries and power generation. Meanwhile, quarterly earnings per share expectations of $0.53 are "beatable" owing to the company's energy division, which has a higher margin profile than Tesla's EV business, the analysts said.

"The company's earnings and guidance are clearly important but take a backseat to the broader and important artificial intelligence initiatives at Tesla," Wedbush said.

A major focus of Tesla's conference call is expected to be the rollout of Robotaxis across the US, the volume production trajectory for Cybercabs and the Optimus robot in 2026, as well as the timing for upcoming models which are expected to debut next year, the brokerage said.

With regards to the current US-China trade friction, Wedbush believes that Tesla's presence in China is a "relatively good sign" for Musk and his company, with Tesla's Shanghai Gigafactory producing a "significant amount" of its global vehicles. The analysts also said that the supply of rare earth minerals remains a crucial component for multiple products within the company's ecosystem.

Tesla is slated to report Q3 results after the close on Wednesday.

Wedbush maintained its outperform rating on Tesla with a $600 price target.

Shares were up 1.2% before Monday's opening bell.