Tesla Stock Just Became A Buy Again, Finally: Expert

A surprising shift is rippling through Wall Street: EVs are back and the market has just switched gears on Tesla, Inc. TSLA. Here’s why one well-known trader thinks the stock is about to break out. 

Dan Nathan, a trader on CNBC’s “Fast Money,” turned bullish on Tesla stock Thursday. After a tough stretch for the EV sector, Nathan believes the EV business is back, with Tesla ready to run into the end of the quarter on a mix of technical factors and improving sentiment. 

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The Technicals 

From a charting perspective, Tesla has quietly built a strong base with a series of higher lows over recent weeks. The stock has held its 200-day moving average and that resilience has drawn traders’ attention. 

Tesla has already begun to rally, gaining more than 12% in the last two days alone.  

The Catalyst

There’s a catalyst ahead that could propel Tesla even higher: the third-quarter deliveries report due Oct.2. 

The consensus estimate on Tesla’s Q3 delivery numbers is conservative, with expectations sitting at the lower end of historical ranges. 

Nathan said the upcoming delivery report could surprise to the upside as EV credits set to expire on Sept. 30 have likely pulled forward demand, leaving Wall Street underestimating the quarter’s true strength. 

A surprise to the upside on Q3 deliveries could provide another powerful pop for Tesla’s stock. 

The Sentiment

Sentiment also plays a central role in Nathan’s bullish call. 

After months of skepticism about whether Tesla’s growth story had peaked, the mood around EVs appears to be shifting. 

With Tesla’s technical setup aligning with a likely interest rate cut next week—and traders underweight heading into the Q3 delivery report—Nathan argues the risk-reward is weighted favorably to the upside.

He summed it up as a rare moment where both the technicals and sentiment appear to align, setting Tesla up for a powerful rebound.

TSLA Price Action: Tesla shares were up % at $ on Friday, according to data from Benzinga Pro. 

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