Investors are bracing themselves for the release of Tesla’s quarterly results, which are expected to be announced after the closing bell on Tuesday. A recent poll reveals that a majority of respondents anticipate the electric vehicle giant to miss consensus estimates for the quarter.
Estimates and Expectations
Analysts expect Tesla to report first-quarter revenue of $21.35 billion, a slight increase from $21.30 billion in the same quarter last year. However, earnings per share are expected to be 41 cents, down from 45 cents in the previous year’s first quarter. Tesla has a history of missing analyst estimates, having done so in five of the last six quarters and six of the last 10 quarters overall.
What to Expect
Tesla’s sales have been declining, particularly in Europe, and CEO Elon Musk’s focus has been elsewhere. According to Jay Woods, Freedom Capital Markets chief global strategist, “Tesla remains one of the most volatile and discussed stocks in the world. Elon Musk’s political bent has made this stock a lightning rod of discussion.” Wedbush analyst Daniel Ives has also questioned the impact of Musk’s political involvement on the company, suggesting that it may have caused “brand damage.”
Poll Results
A recent poll of Premarket Playbook viewers revealed the following predictions for Tesla’s earnings results:
- Miss: 68%
- Beat: 19%
- Inline: 11%
The majority of respondents expect Tesla to miss analysts’ estimates, while only 19% believe the company will beat the consensus expectations. The remaining 11% predict that Tesla’s Q1 results will be in line with analysts’ estimates.
Stock Performance
Tesla stock was up 3.65% to $235.73 heading into Tuesday’s closing bell. The company’s stock price has been highly volatile, and investors are eagerly awaiting the release of the quarterly results to determine the direction of the stock.
Key Takeaways
- Tesla is expected to report first-quarter revenue of $21.35 billion
- Earnings per share are expected to be 41 cents, down from 45 cents in the previous year’s first quarter
- A majority of respondents expect Tesla to miss consensus estimates
- The company’s stock price has been highly volatile, and investors are awaiting the release of the quarterly results to determine the direction of the stock.