Tesla stock was on track to notch a five-session winning streak on Wednesday, but that doesn't mean the electric-vehicle maker has turned a corner following a rough stretch.

Shares ticked up 0.5% to $334.38 ahead of the opening bell. Futures tracking the S&P 500 were 0.3% higher ahead of the July consumer-price inflation report.

Tesla stock has closed in the green for four straight trading days, rising 4.2% over that period. But it's still down 26% for the year as investors fret about weaker profit and an expensive pivot into AI.

There hasn't been an obvious catalyst for the recent move higher. It's probably just investors buying the dip in the quiet summer period, when trading tends to be thinner than usual.

Still, shares aren't cheap. As of Tuesday's close, Tesla was fetching 197-times expected earnings for 2026, more than 10 turns above its five-year average.

Unless the company shows investors it can either sell more cars or make its AI investments pay off, don't expect the rally to last.