TSLA: Tesla Stock Nears Breakout as China Sales Slide Weigh on Outlook

Aug 26 - Tesla Inc. TSLA stock edged higher Tuesday, hovering just below a technical buy point, even as sales trends in China continue to present challenges. Insurance registrations, widely used as a proxy for vehicle deliveries in China, reached 10,300 for the week of Aug. 1824, down 26% from the prior week's 14,000, according to industry trackers.

So far in the third quarter, Tesla registrations in China are running about 48% above last quarter's pace, but they are still 12% lower than the same period in 2024. Year-to-date, registrations in the country have fallen nearly 7%, underscoring ongoing competitive and pricing pressures in the world's largest EV market.

In an effort to sustain demand, Tesla recently rolled out a six-seat version of its Model Y L in China, priced near $47,180. CEO Elon Musk said U.S. availability is unlikely before late 2026 and even cautioned production may never happen domestically if self-driving technology scales faster than expected.

Analysts project Tesla will deliver about 430,000 vehicles globally in the third quarter, according to FactSet. That would mark a 12% increase from Q2 levels, though still a 7% decline from a year ago.

Shares of TSLA gained 0.3% Tuesday morning to $347.2, following a brief move above the $348.98 buy point a day earlier. The stock has advanced 12.4% in August, lifted by optimism around upcoming product catalysts, but remains 30% below its all-time high of $488.54.