11:30 AM EDT, 09/27/2024 (MT Newswires) -- Tesla's (TSLA) Q3 deliveries are expected to exceed market expectations of 462,000 units thanks to a strong rebound driven by stabilizing demand in China after a bumpy H1, Wedbush Securities said in a note Friday.

"We believe 3Q will provide a solid rebound looking to 2H for the company as China continues to heat up and price/demand stabilization has continuously been seen throughout the quarter," Wedbush analysts, including Daniel Ives, said. "We believe this quarter is a major step in the right direction for the Tesla story."

The report said Tesla is expected to announce Q3 deliveries next Wednesday, with whisper numbers around 465,000 to 470,000, adding that 1.8 million deliveries for the full-year attainable with H2 momentum underway.

The upcoming Robotaxi event is set to provide important updates on the Full Self-Driving system, artificial intelligence, and Tesla's future. The company's next phase of growth will focus on autonomous vehicles and AI, the analysts said.

Wedbush kept its outperform rating and $300 price target on Tesla.

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