Tesla’s China-Made EV Sales Hit 2026 High In September – Yorkville Says TSLA Is One Of The Clearest Ways To Own ‘Physical AI’ In Public Markets

Tesla sold 95,366 Shanghai-made Model 3 and Model Y vehicles in September, up 5% year over year, according to CnEVPost.

• Exports surged 58% while domestic Chinese sales declined 9.4%.
• Yorkville Ives initiated coverage of the stock with an ‘Outperform’ rating, saying Tesla is “just beginning.”
• Recently, Tesla reported stronger-than-expected Q3 deliveries of 486,532 vehicles.

Tesla (TSLA) was on investors’ radar on Friday after China-made electric vehicle sales in September reached their highest monthly level of 2026, supported by stronger exports and recovering demand in Europe.

The improvement comes as Yorkville Ives initiated coverage of the stock with an ‘Outperform’ rating, saying Tesla is “just beginning.”

“We view Tesla as one of the clearest ways to own physical AI in the public markets,” Yorkville said, as reported by CNBC on Friday.

TSLA shares were up 2% at the time of writing, having hit their highest levels in nearly three months earlier this session. The stock is also set to record its best week in nearly two months.

Tesla’s Vehicle Sales Recovery Continues

Tesla sold 95,366 Shanghai-made Model 3 and Model Y vehicles in September, up 5% year over year and nearly 11% from August, according to data from the China Passenger Car Association reported by CnEVPost.

The figure includes exports to Europe, Asia-Pacific and Canada, marking Tesla’s highest monthly total in 2026. Exports surged 58% to 30,529 vehicles even as domestic Chinese sales declined 9.4% to 64,837.

Earlier this month, Tesla reported stronger-than-expected third-quarter (Q3) deliveries of 486,532 vehicles, comfortably beating Wall Street’s estimate of 461,974. Model 3 and Model Y accounted for 478,237 deliveries, while total production stood at 464,391 vehicles.

The strong performance was also reflected in Tesla’s Shanghai operations, where sales of China-made vehicles rose 13.7% year over year, supported by a recovery in demand across several European markets.

Analysts Bullish On AI, Robotics Businesses

Separately, Tigress Financial maintained its ‘Buy’ rating and $550 price target on Thursday, citing growth potential from Full Self-Driving subscriptions (FSD), Cybercab robotaxis, Optimus robots and energy infrastructure.

Earlier this week, Goldman Sachs said Tesla’s stock performance will hinge more on updates around its AI and robotics businesses than on its near-term earnings. Tesla reports Q3 earnings on October 21.

Retail’s Take On TSLA

However, retail sentiment surrounding TSLA turned ‘bearish’ from ‘neutral’ on Stocktwits over the past 24 hours.

TSLA is also the only MAG 7 stock trading in the red so far this year, down around 13%.

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