Tesla (TSLA) is in focus on Thursday following reports that it’s no longer the best-selling EV brand in Europe – a region it has ruled for years. 

According to data from Jato Dynamics, rival BYD (BYDDY) sold a total of 7,231 electric vehicles in the bloc last month, up a whopping 169% on a year-over-year basis. In comparison, Tesla sales were capped at 7,165 only.

Still, Tesla shares sit comfortably in the green this morning. Versus their year-to-date low, they’re up more than 60% at the time of writing.  

Why BYD’s Win Is Meaningful for Tesla Stock

Tesla saw its sales plunge an alarming 49% in Europe last month, which is concerning given the overall EV registrations in the region were actually up significantly in April.

Plus, the aforementioned data substantiates the bearish narrative that TSLA is indeed losing ground to its nemesis, BYD. 

“Although the difference between the two car brands’ monthly sales may be small, the implications are enormous,” wrote Felipe Munoz, a Jato Dynamics analyst in his report on Thursday. 

Investors should note that China-based BYD has already bested Tesla in the race to $100 billion in sales, and it’s latest charging technology gives Elon Musk’s firm a run for its money as well. 

TSLA Shares Could Benefit From Two Big Tailwinds

Despite continued weakness in sales, Piper Sandler analysts are not willing to change their uber bullish view on Tesla stock, primarily because the company is scheduled to launch its robotaxi service in Austin next month. 

On Thursday, the investment firm maintained its “Overweight” rating on TSLA shares that it argues will hit $400 over the next 12 months. Piper Sandler’s price target translates to 17% upside from here. 

According to the firm’s analysts, Tesla’s commitment to humanoid robots could unlock significant further upside in the EV stock as well. 

Piper Sandler Is More Bullish Than Other Firms on Tesla

What’s worth mentioning, however, is that Piper Sandler is among the more positive Wall Street firms on Tesla stock. 

According to Barchart, the consensus rating on TSLA currently sits at “Hold” only with the mean target of about $288 indicating potential downside of 16% from current levels.