Tesla’s stock surged more than 10% on earnings report, “better than feared.”

Tesla shares rose more than 10% in premarket trading on Thursday after beating the top and bottom lines, despite mixed sentiment from analysts about the electric car maker’s prospects.

Tesla lowered prices in late 2022 and into 2023, a move that appears to have sparked demand. Musk offered a restrained but optimistic forecast for production in 2023. “If this year goes smoothly, with no major disruptions in the supply chain or major issues, we have the potential to produce 2 million vehicles this year. I think there will be a demand for that as well. Musk told the analyst.

“So far in January, we’ve seen the strongest year-to-date orders at any time in our history. We are currently seeing orders that are almost double the pace of production,” Tesla CEO Elon Musk said during a call with investors on Wednesday. Tesla reported automotive revenue of $21.3 billion in the fourth quarter and adjusted earnings per share of $1.19.

Analysts had mixed reactions to Tesla’s report. “Something for the bulls … and the bears,” read the headline of Bernstein’s Thursday morning report. Bernstein noted that he remains “torn on TSLA stock” and reiterated his underperform rating. Morgan Stanley’s Adam Jonas was more bullish, reaffirming an overweight rating with a $220 price target.

“Better than feared,” Canaccord Genuity analyst George Giannarikos wrote in a note late Wednesday. Canaccord maintained a Buy rating with a $275 price target.

Tesla didn’t issue new guidance, but said in its earnings call that it plans to “increase production as quickly as possible in line with the 50% annual growth target we began pursuing in early 2021.”

CNBC’s Laura Kolodny and Michael Bloom contributed to this report.