Tesla stock opened up 5.5% at $410.50 before slipping. The initial rise was a surprise for two reasons. For starters, earnings were relatively weak and guidance was “vague,” according to Morgan Stanley analyst Adam Jonas.

One analyst warns of the potential for even more pressure on automotive gross margins. But another says moonshot ventures finally look poised to take off.

Tesla missed estimates on the top and bottom lines in its fourth-quarter earnings report. While the stock initially dropped after hours, it rose as Elon Musk talked up the autonomy opportunity. Tesla faces a lot of uncertainty in 2025.