Investors are heading into a pivotal earnings report for Tesla. Focus will be on updates regarding robotaxis and AI plans.
Tesla's (NASDAQ: TSLA) stock appears to have entered a new bullish phase, with technical indicators suggesting that the electric vehicle giant may be gearing up for a strong rally toward the $600 mark ahead of its Q3 earnings release.
Beloved Tesla is on the reporting docket this week, with margins likely to take center stage.
Tesla (NASDAQ: TSLA)'s stock rose by 35%, driven by heightened investor enthusiasm, even as revenues experienced a minor decline and profit margins contracted. The increase can be attributed to a couple of factors.
Tesla, Inc. faces short-term EV headwinds, with record Q3 deliveries likely an anomaly amid increased competition and waning incentives. Most of TSLA's “mind-share” is focused on getting its Optimus robots into mass production. TSLA has a unique combination of core competencies that'll make it a formidable force in robots.
Tesla is scheduled to release earnings after Wednesday's close. The stock hit a record high of $488.54/share in December 2024 and is currently trading near $447.
The profitability of Tesla's so-called affordable new cars will be in focus when the electric vehicle maker reports quarterly results on Wednesday, and analysts think that thousands of dollars in cost cuts per vehicle will not be quite enough to protect profit margins.
Tesla reports third-quarter earnings on Wednesday evening. Wall Street projects earnings per share of 55 cents from sales of $27.2 billion.
Tesla (TSLA) is scheduled to report third-quarter results after the bell on Wednesday, and some traders are betting the electric vehicle maker's stock will jump to its highest level since last December on the results.
I missed the forest for the trees when I had a bearish view on Tesla, Inc. I assessed the robotaxi business in a very myopic way. The reality as I see it now is that TSLA's robotaxi rollout is on track, with public launches and regulatory approvals. Short-term regulatory and competitive hiccups in the robotaxi business are rather immaterial so long as TSLA progresses toward the end goal of unlocking this trillion dollar opportunity.
Halfway though 2025, Tesla stock looked like a big-time laggard.
After an up-and-down week in the markets, we now turn our attention to a ramp-up in earnings season and the ongoing wait to see whether the government will reopen in the coming days. Let's take a quick look back at last week to set the tone for what lies ahead.