Tesla (NASDAQ:TSLA) is grappling with another high-profile exit as Siddhant Awasthi, the engineer who led the Cybertruck division and recently oversaw the Model 3 program, announced his departure. Awasthi, who joined Tesla as an intern eight years ago, had a pivotal role in engineering, production ramp-up, and supply chain logistics. His exit comes amid ongoing production and delivery challenges for the Cybertruck, which has struggled with recalls, delayed deliveries, and underwhelming sales.
High-Profile Exits at Tesla
Awasthi’s departure is part of a pattern of management turnover at Tesla. Senior VP Drew Baglino left in April 2024, Vineet Mehta, Head of Battery Technology, resigned in June 2025, and Milan Kovac, VP of the Optimus robotics program, also exited. Additionally, Tesla abandoned its Dojo Supercomputer division in August 2025, with its head, Peter Banon, leaving. These exits reflect challenges in aligning Tesla’s ambitious initiatives with executive retention under Elon Musk’s intense leadership style.
Shareholders Remain Confident
Despite leadership departures and operational hurdles, Tesla shareholders remain largely unshaken. Musk’s renewed focus and the approval of his $1 trillion pay package in 2025—a milestone-driven plan requiring the company to reach an $8.5 trillion market cap, deliver 20 million EVs, and launch 10 million full self-driving subscriptions—reinforce investor confidence. Tesla’s market cap has grown from $1.6 billion at its IPO in 2010 to approximately $1.43 trillion today, demonstrating Musk’s track record in creating substantial shareholder value.
Financials Show Mixed Results
Current financials, however, indicate challenges. Q3 2025 revenue rose 12% YoY to $28.1 billion, with energy and service segments growing 44% and 25%, respectively. The automotive segment saw only 6% growth to $21.2 billion. Earnings per share fell 31% to $0.50, missing the consensus estimate of $0.56. Vehicle deliveries rose 7% to 497,099 units, but production declined 5% to 447,450 vehicles. Tesla maintains strong liquidity with $41.6 billion in cash versus $1.9 billion in short-term debt.
Analyst Outlook on TSLA Stock
Analysts are cautiously optimistic about TSLA stock, mostly rating it a “Hold.” Out of 42 analysts covering Tesla, 14 recommend “Strong Buy,” two “Moderate Buy,” 17 “Hold,” and nine “Strong Sell.” The average target price is near current levels, with a high target of $600 suggesting a 35% potential upside. While Tesla’s growth has slowed compared to prior years, its ambitious projects, strong cash reserves, and Musk’s leadership keep investor confidence intact.
Should You Buy, Sell, or Hold TSLA Stock?
Investors considering TSLA stock face a mix of risk and opportunity. Leadership changes and operational pressures create near-term uncertainty, but long-term growth prospects driven by EV expansion, energy solutions, and AI initiatives, including full self-driving and Optimus robots, could reward patient shareholders. For now, cautious investors may choose to hold, while risk-tolerant investors might view dips as an entry point given Tesla’s history of delivering outsized returns under Elon Musk’s vision.
Tesla’s competitive position in the EV and AI sectors remains a key consideration for TSLA stock investors. While production hiccups and leadership exits have raised short-term concerns, the company continues to innovate aggressively. Tesla’s AI-driven full self-driving technology and Optimus robotics program aim to create new revenue streams beyond traditional vehicle sales. Meanwhile, the energy segment, including solar and battery solutions, has posted double-digit growth, demonstrating Tesla’s ability to diversify. Competitors in China and legacy automakers are intensifying pressure, but Tesla’s brand recognition, charging infrastructure, and vertically integrated operations provide a defensible moat. Analysts note that execution will be critical—scaling production efficiently and hitting delivery targets will determine whether Tesla can maintain its leadership in the rapidly evolving EV market. Long-term investors may find TSLA stock attractive if these initiatives succeed.
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