Tesla shares down 5.6% on Tradegate after results

Tesla shares down 5.6% on Tradegate after results

Tesla (TSLA) shares fell 5.6% on Tradegate following the release of its second-quarter (Q2) earnings report, which revealed a 23% decline in earnings and a drop in sales. The electric vehicle (EV) giant reported earnings of $1.17 billion, or 33 cents a share, down from $1.4 billion, or 40 cents a share, in the same period last year [4]. Revenue fell to $22.5 billion from $25.5 billion, slightly above Wall Street’s forecast [4].

During the earnings call, CEO Elon Musk expressed optimism about the company's robotaxi plans and the Optimus robot but warned that the absence of U.S. EV incentives could lead to a few rough quarters [1]. Musk also mentioned that the company is planning to introduce a cheaper model and expand its robotaxi service despite facing challenges in the EV market [4].

The stock has shown resilience, maintaining its position above $300 despite the earnings report. At press time, TSLA was trading at $332, though it remains down 12% year-to-date [2]. Analysts are closely watching updates on autonomy, Q3 margin, delivery guidance, and progress in key markets such as China and Europe [2].

Tesla's stock fundamentals show weakening sentiment around the company, partly due to Musk’s political activity and rising inventory levels [2]. The AI model noted that growing Full Self-Driving (FSD) subscriptions and momentum in Tesla’s energy and services segments may offer support, but without a strong earnings beat or clear roadmap for its robotaxi program, the outlook remains cautious [2].

The market will be closely listening for updates on these areas, as Tesla’s stock may struggle to maintain its position without clear momentum [2].

References:
[1] https://www.investors.com/news/tesla-stock-market-elon-musk-robotaxis-earnings/
[2] https://finbold.com/ai-predicts-tesla-stock-price-after-q2-earnings-report/
[3] https://seekingalpha.com/article/4803669-tesla-a-disastrous-quarter
[4] https://www.livemint.com/companies/company-results/tesla-reports-12-revenue-drop-in-first-quarter-as-musks-politics-repel-buyers-shares-fall-3-11753316582030.html