TLDR
- Tesla sales increased in France and Denmark in September for the first time in 2025, with Denmark seeing the Model Y as the best-selling vehicle
- Registrations grew in Norway by 14.7% and Spain by 3.4%, but Sweden continued its nine-month decline with a 64% drop
- William Blair analyst Jed Dorsheimer maintains a Hold rating on the stock, citing near-term margin concerns despite positive momentum
- The end of the $7,500 EV tax credit sparked a U.S. demand surge, prompting higher delivery estimates for Q3
- Tesla stock has reached near all-time highs driven by robotaxi developments, Musk’s stock purchase, and new energy storage products
Tesla posted sales increases in France and Denmark during September, marking the first monthly growth in those markets for 2025. The revamped Model Y led the charge in Denmark, becoming the best-selling model in the country.
My new car. Tesla Model Y Performance. Awesome. pic.twitter.com/k51iUDx2Pv
— tescroft (@tescroft1) September 21, 2025
The French market saw registrations rise 2.74% year-over-year. Denmark performed even better with a 20.5% increase.
Norway continued its strong showing for Tesla with registrations up 14.7%. The Model Y and Model 3 claimed the top two sales spots in the country.
Spain recorded a 3.4% increase in Tesla sales. The new Model Y drove that growth with registrations jumping 60%.
Sweden told a different story. Registrations fell 64% to 1,726 vehicles in September, marking the ninth consecutive month of decline. That number did improve from August’s low of just 210 cars.
Tesla began delivering the refreshed Model Y in many European markets in June. The company had positioned the update as a key driver for recovering European sales.
The numbers through August painted a tough picture. Sales were down 42.9% in the European Union and 32.6% across Europe as a whole for the January-August period.
Competition has intensified. Chinese automaker BYD outsold Tesla in the EU during August for the second time this year.
Analyst Maintains Neutral Stance
William Blair analyst Jed Dorsheimer kept his Hold rating on the stock. He pointed to competing forces affecting Tesla’s outlook.
The recent end of the $7,500 EV tax credit created a surge in U.S. demand. This led to increased delivery estimates for the third quarter.
But Dorsheimer sees potential headwinds ahead. Lower auto deliveries and reduced regulatory credit revenue could pressure margins in the coming quarter.
The stock has climbed to near all-time highs. Positive developments in robotaxi technology helped fuel the rally. Elon Musk’s stock purchase and new energy storage products also contributed to the momentum.
Tax Credit Impact and Future Concerns
The analyst noted the timing of the tax credit ending created a rush of purchases. Customers moved quickly to take advantage of the incentive before it disappeared.
Dorsheimer holds a 5-star rating with a 30.7% average return and 53.09% success rate. Barclays also maintained a Hold rating with a $275 price target.
Andy Palmer, chairman of Electric Vehicles UK, said Tesla needs fresh models to maintain its position. More affordable EVs continue entering the European market.
Palmer noted that while Tesla remains a major player, the competitive landscape has changed. The company faces serious competition from both European and Chinese manufacturers.
Tesla has not released a new mass-market model since the Model Y launched in 2020. The aging lineup faces pressure from newer offerings hitting showrooms across Europe.
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