Dan Ives, a well-known strategist at Wedbush, said,$Tesla (TSLA.US)$this struggling electric vehicle manufacturer is expected to rebound in the second half of this year, because its situation is finally starting to improve.

Ives stated that the release of Robotaxi in August may represent a major turning point for Tesla's stock price. He previously referred to this robot taxi as the company's "magical model".

He believes that Musk's comeback story will begin with Robotaxi Day in August. He said, "I believe this stock will rise significantly in the second half of this year. I think Tesla's stock price is telling you that... Musk and Tesla's worst times are over."

For many years, Ives has been convinced of Tesla's growth potential. Despite the company's rise of 6% on Monday, Tesla's decline this year has exceeded 21%. The company previously announced a new car purchase financing policy in China, including 0 and low-interest preferential purchase policies for 1-5 years of the Model3/Y standard endurance version, with daily supply starting from 85 yuan.

Prior to Tesla's surge on Monday, he said that although the company's performance in 2024 has been lukewarm, he is still optimistic about the company. Ives previously stated that the main reasons for Tesla's stock price plummeting in 2024 are weak demand for electric vehicles, competition intensifying in the Chinese market, and multiple legal disputes related to Musk.

But Ives said that these unfavorable factors are easing, especially when the situation in China is beginning to stabilize. Tesla has stopped lowering prices for its main models, which may be a sign of strengthening demand.

"Tesla has encountered great competitive resistance in China, and now we see it coming back," he said.

Ives said that the second quarter delivery data that Tesla is scheduled to release on Tuesday (July 2) may disappoint, but this may be the automaker's "last bad news".

Currently, the market generally expects Tesla's second-quarter deliveries to face difficulties again. According to a survey of 12 analysts by London Stock Exchange Group (LSEG), Tesla's second-quarter deliveries are expected to be 438,000 vehicles, compared with 466,000 vehicles in the same period last year. Seven analysts have significantly reduced their expectations in the past three months.

This may be the first time the world's largest electric car manufacturer has experienced consecutive quarterly declines in deliveries. In the first quarter, Tesla delivered 386810 cars worldwide, down 8.5% from the same period last year.

Overall, Wedbush reiterated its "outperform" rating on Tesla and a target price of $275, which means the stock will rise 31% from its current level. As of the time of writing, Tesla's US stock market trading after hours is up 0.04%.

Ives also stated that if Trump is re-elected, related profits may expand, because compared with Biden, who "actively ignores" Tesla, Trump is "pro-Musk".

Other analysts seem less certain about Tesla's prospects. Long-term investors and bank forecasters warn that the stock's downside potential could be as high as 91%. A strategy analyst for Wells Fargo earlier this year stated that this was because there are critical issues with the company's business model and unfavorable factors may persist for several years.

Edited by Jeffrey