Tesla

Despite missing earnings estimates, Musk was optimistic about Tesla, expecting the company to continue to grow deliveries by 50% year over year.

[unexpected u-turn](https://www.forbes.com/sites/dereksaul/2022/10/04/twitter-shares-soar-22-after-musk-offers-to-buy-company-at-original-price/?sh=301ca1634d41) earlier this month, Musk announced he will follow through with his original $44 billion offer to acquire the social media company, after trying to terminate the deal earlier. On Wednesday’s earnings call, Musk acknowledged he was “obviously overpaying for Twitter right now,” but stated the platform’s long term potential was “an order of magnitude greater than its current value.” Musk has previously [indicated](https://www.forbes.com/sites/madelinehalpert/2022/10/05/if-musk-turns-twitter-into-x-his-everything-app---heres-what-it-might-look-like/?sh=51bbdbc3d3d9) he wants to turn Twitter into his vision of a “super app” called X. [Tesla Stock Drops After Missing Revenue Expectations](https://www.forbes.com/sites/nicholasreimann/2022/10/19/tesla-stock-drops-after-missing-revenue-expectations/) (Forbes) [China](https://supplychaindigital.com/logistics/tesla-blames-china-lockdowns-supply-chain-problems) and [Germany](https://fortune.com/2022/07/04/tesla-germany-elon-musk-berlin-gigafactory-brandenburg-gruenheide-production-manufacturing-problems/). In an [missed](https://www.forbes.com/sites/nicholasreimann/2022/10/19/tesla-stock-drops-after-missing-revenue-expectations/?sh=6101b40b1d2e) revenue expectations in its third-quarter earnings report released a day earlier.

Shares of Tesla Inc sank 9% on Thursday, with Wall Street analysts worrying that the electric vehicle maker's growth momentum may have hit a speed bump due ...

"I don't question demand as EVs are inevitable ... Register now for FREE unlimited access to Reuters.com (Tesla) has done a great job, there is going to be a shift to EVs," Roth Capital analyst Craig Irwin said. [quarterly earnings report](/business/autos-transportation/tesla-misses-quarterly-revenue-estimates-2022-10-19/), the company pointed to challenges it was facing on the logistics front for a potential miss in hitting the delivery growth target of 50% this year. "The bullish narrative is clearly hitting a rough patch as Tesla must now prove again to the Street that the robust growth story is running into a myriad of logistics issues as opposed to demand softening," Wedbush analyst Daniel Ives said. [(TSLA.O)](https://www.reuters.com/companies/TSLA.O) slipped about 3% on Thursday after Chief Executive Elon Musk said it was a "little harder" for the electric-vehicle maker to garner demand in the face of a weakening global economy.

Investors sent the electric vehicle maker's shares down sharply in after-hours trading after the company warned about uncertain customer demand.

[reports The Times’s Isabella Simonetti](https://www.nytimes.com/2022/10/19/business/consumer-nestle-procter-gamble.html). (WSJ) The cost of one essential food staple — bread — has [skyrocketed](https://www.nytimes.com/2022/10/19/business/europe-food-prices-inflation.html). of its energy-trading unit](https://www.bloomberg.com/news/articles/2022-10-19/saudi-aramco-is-said-to-push-ahead-with-ipo-of-oil-trading-unit)despite turbulent markets. (NYT) (Today) de la Merced](https://www.nytimes.com/by/michael-j-de-la-merced), [Lauren Hirsch](https://www.nytimes.com/by/lauren-hirsch) and [1 percent tax on stock buybacks](https://www.nytimes.com/2022/08/16/business/1-percent-buyback-tax.html) applies to SPAC liquidations as well. [antitrust target](https://www.ft.com/content/f222e618-dc96-4204-8a27-00e0a9316236) for its efforts to roll up companies in various industries. Truss has had a torrid 24 hours, including the [firing of her home secretary](https://www.nytimes.com/2022/10/19/world/europe/liz-truss-uk-parliament.html) and one lawmaker’s description of her government “as a shambles and a disgrace.” [Big Tesla shareholders](https://twitter.com/KoguanLeo/status/1576955734922711040?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1580573359603322881%7Ctwgr%5E11b0c71fdeab1c61c28a1ad6ca83e3566a26618e%7Ctwcon%5Es2_&ref_url=https%3A%2F%2Fwww.reuters.com%2Fbusiness%2Fautos-transportation%2Ftesla-investors-focus-demand-issues-earnings-report-2022-10-18%2F) have been lobbying for a share buyback. [sold about $15.5 billion this year](https://www.nytimes.com/2022/10/19/business/dealbook/banks-stock-rally-wall-street-goldman-sachs-morgan-stanley.html).

Tesla continues to sell battery storage systems faster than it can make them, reporting record-high quarterly deployments in Q3 2022.

However, solar PV barely got a mention in the earnings call, with callers mostly focusing on EVs and to a lesser extent stationary energy storage. Batteries are a critical component of the IRA’s emphasis on incentivising low carbon sustainable energy. Kirkhorn said other challenges are coming from raw materials, logistics and foreign exchange, with the US Dollar particularly strong at the moment. That was very much driven by Powerwall and Megapack product sales, with Tesla continuing to fall below the 100MW mark for quarterly solar PV deployments. CEO and product architect Elon Musk said in the earnings call that Tesla expects to sell every car it produces. That bettered the last quarter, which was also a record at the time with US$97 million gross profit for the segment.

Canaccord Genuity upgrades Datadog, calls it a top software stock to play the battered sector. Samantha Subin3 hours ago.

Read more about this call here Goldman Sachs initiates Gossamer Bio as buy Goldman said in its initiation of Gossamer that it sees an "attractive market opportunity" for the biotech company. Read more about this call here Morgan Stanley downgrades Ally Financial to equal weight from overweight Morgan Stanley said in its downgrade of the financial services company that visibility is "fogging up" for shares of Ally. UBS reiterates Nike as buy UBS said its recent survey checks give the firm "increased" conviction in the stock. Read more about this call here. Wolfe downgrades Sunrun to peer perform from outperform Wolfe said in its downgrade of Sunrun that it sees "interest rate headwinds."

Shares of Tesla fell after the electric vehicle maker reported third-quarter revenue that missed analyst estimates. In a note to investors, tech analyst Toni Sacconaghi of Bernstein said Musk's performance on the “earnings call didn't sit well with us.

"The factories are running at full speed and we're delivering every car we make, and keeping operating margins strong." Revenue came in light at $21.45 billion, which missed analysts' expectations of $21.96 billion. The company said on its earnings call that, while it expects 50% annual growth in production this year, its deliveries may fall just under 50% growth "due to an increase in the cars in transit at the end of the year." - The company said on its earnings call that, while it expects 50% annual growth in production this year, its deliveries may fall just under 50% growth "due to an increase in the cars in transit at the end of the year." [said in a note on Thursday.](https://www.cnbc.com/2022/10/20/bernstein-says-musk-was-curt-and-almost-dismissive-on-earnings-call-sees-stock-dropping-nearly-30percent.html) "Answers to many questions on the earnings call were curt and almost dismissive, with CEO Musk instead repeatedly making very bold prognostications about Tesla's future and capabilities." - In a note to investors, tech analyst Toni Sacconaghi of Bernstein said Musk's performance on the earnings call "didn't sit well with us."

Analysts are divided over the near-term and future trajectory of Tesla shares after the electric vehicle company posted mixed third-quarter results.

Still, Baird analyst Ben Kallo retained his buy rating on the stock, highlighting in a note to clients that company's continued strong margins and ramp-up of its factories in Texas and Berlin. Morgan Stanley's analyst Adam Jonas reiterated his overweight rating on the stock, saying in a note to clients he expected an earnings miss from the company as it grapples with cost inflation related to shipping and input costs on supplies like batteries. "While we acknowledge Tesla's innovation and financial success, we continue to struggle to justify the company's valuation," he wrote. Citi's Itay Michaeli agreed with Potter, saying in a note to clients that despite taking an initial leg down, he expects the stock to shift back to trading on near-term macro and industry trends. Cost per vehicle should improve as delivery pace smooths and TSLA shifts to a more even delivery and production mix geographically. "Lower pricing is likely, in our view, as Tesla expands down-market; but more efficient factories, higher volume, and more software should mitigate the impact on gross margin," he said.

Investors are wary that the electric car maker may miss its growth targets due to inflation and logistical challenges.

Some analysts say Musk may need to sell about $3bn more in stock after the earnings announcement to help fund the deal. There is going to be a shift to EVs.” At least five brokerages on Thursday cut their price target on the stock, citing softer car deliveries in 2022. [new factories in Berlin and Texas](/economy/2022/6/23/teslas-texas-berlin-factories-losing-billions-of-dollars) and the production of its new breakthrough 4680 batteries, according to Tesla’s statement. In its quarterly earnings report on Wednesday, the company pointed to challenges it was facing on the logistics front and said it might miss its target of 50 percent delivery growth this year. Tesla stock, which is down 37 percent so far this year, fell to a 16-month low of $202.15 in early trading on Thursday and was set for its worst day since June.

The biggest takeaway from Bank of America's earnings, and what it means for the broader stock market. Michael Santoli · Handicapping whether the stock ...

There is now a solid LEI peak in place and the pre-recessionary clock has been ticking for a bit now. The 3800 level is the early-October high and the lower end of the market's prevailing April-September range. With one eye on the Treasury market and another on corporate results, the S & P 500 is sticky around the 3,700 level for a third straight day.

Elon Musk sees Tesla Inc. becoming bigger than the combined valuation of Apple Inc. and Saudi Aramco one day. Wall Street is saying, not so fast.

This is the first time the company missed revenue estimates since the third quarter of 2021, data compiled by Bloomberg show. The electric-vehicle maker reported lackluster third-quarter results on Wednesday, with revenue and margins missing estimates even as profit beat. [Tesla Inc.](/quote/TSLA:US) becoming bigger than the combined valuation of Apple Inc.

Elon Musk's latest lofty prediction for Tesla looks pie in the sky, even by his standards.

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During Tesla's earnings call, Elon Musk sounded like he was finally ready to close his deal for Twitter. But he's not ready to merge the social media firm ...

Check out the companies making headlines in midday trading. AT&T – The telecom giant's stock jumped 7.79% after the company surpassed earnings and revenue ...

[American Airlines](/quotes/AAL/) – Shares of American Airlines fell 3.79% after the company reported earnings [that beat Wall Street's expectations](https://www.cnbc.com/2022/10/20/american-airlines-aal-3q-2022.html) and forecast a fourth-quarter profit, thanks to strong travel demand. [Kinder Morgan](/quotes/KMI/) — Shares declined 4.84% after the oil and gas pipeline operator [reported third-quarter per-share earnings results](https://ir.kindermorgan.com/news/news-details/2022/Kinder-Morgan-Reports-Third-Quarter-Earnings-Per-Share-up-14-and-Distributable-Cash-Flow-Per-Share-up-11-Versus-the-Third-Quarter-Of-2021/default.aspx) that missed analysts' expectations, according to consensus estimates on StreetAccount. [Freeport McMoRan](/quotes/FCX/) – Shares of Freeport McMoRan jumped 2.64% after the mining company reported earnings Thursday. [Lam Research Corporation](/quotes/LRCX/) – Shares of Lam Research Corporation 7.81% Thursday after the company reported an earnings beat amid improving supply chains. [Alcoa](/quotes/AA/) – Shares of the aluminum producer rose 3.43% even after the company reported an unexpected third-quarter loss on Wednesday. [Tesla](/quotes/TSLA/) – Shares of electric automaker Tesla fell 6.65% Thursday, a day after the [company reported third-quarter earnings](https://www.cnbc.com/2022/10/19/tesla-tsla-earnings-q3-2022-.html) that fell short of Wall Street's expectations for revenue. [Las Vegas Sands](/quotes/LVS/) – Shares of the hotel and casino operator rose 5.59% after the company reported mixed third-quarter results, including a bigger-than-expected loss and revenue that beat analysts' forecasts, according to Refinitiv. [Knight-Swift Transportation Holdings](/quotes/KNX/) — The Phoenix-based trucker fell 5.91% after third-quarter earnings per share and fourth-quarter guidance missed analysts' estimates. [IBM](/quotes/IBM/) – Shares of the technology conglomerate added 4.73% after [beating top and bottom-line estimates](https://www.cnbc.com/2022/10/19/ibm-earnings-q3-2022.html) for the recent quarter, posting adjusted earnings of $1.81 per share on $14.11 billion in revenue. [Datadog](/quotes/DDOG/) – Shares of Datadog jumped 4.23% after [Canaccord Genuity upgraded the company](https://www.cnbc.com/2022/10/20/canaccord-genuity-upgrades-datadog-calls-it-a-top-software-stock-to-play-the-battered-sector.html) to buy from hold, saying the stock's beaten down price is an attractive opportunity for investors to play in the cloud software sector. [AT&T](/quotes/T/) – The telecom giant's stock jumped 7.79% after the company surpassed earnings and revenue estimates for the recent quarter. [Allstate](/quotes/ALL/) – Shares of insurer Allstate fell 12.90% after the company said it would report a loss in the third quarter following Hurricane Ian, which struck in September and boosted catastrophe losses.

Tesla Inc CEO Elon Musk walks next to a screen showing an image of Tesla Model 3 car during an opening ceremony for Tesla China-made Model Y program in Shanghai ...

So what we’ve got is a car company that makes four cars and a truck. Much more than four cars and a truck, at least, and it has the demonstrated history of doing so. That’s because the company’s share performance isn’t based off of where Tesla is now, it’s based off of where it is going – or where Musk convinces investors it is going: Tesla’s cars will drive themselves. And, if we’re being charitable, let’s say Tesla makes the Semi, too, even though it has not delivered any. At $54.20 a share, he is “obviously overpaying” for Twitter, Musk said on the earnings call. On Wednesday evening’s earnings call, the Tesla CEO claimed that his company, a maker of niche luxury cars, would someday be worth more than Apple and Saudi Aramco. A full-size SUV, which competes with other full-size offerings from Mercedes, Porsche, Volkswagen, Audi, BMW, General Motors, Toyota, and many others. A full-size sedan, which competes with similar. A sports car. Musk said his cars would drive themselves, and they do not. After all, we’ve seen things much unlikelier come to fruition in the financial markets. Tesla’s market value is $650 billion – down 7% after the company walked back a projection of 50% growth this year.

The visionary CEO may have spilled key details over his upcoming Master Plan Part 3 as he looks to sell down shares ahead of his likely $44 billion Twitter ...

“We’re still on track to enter early production middle of next year,” said Lars Moravy, head of engineering, during the call. He may have just unveiled the core thinking of his Master Plan, well timed to help him finance his Twitter purchase. “It is certainly possible for us to do a buyback on the order of five to ten billion dollars even in a downside scenario for next year. CYBERTRUCK: The company is in the final lap of preparations with tooling beginning in GigaTexas. When exactly this target should be reached is unclear, but Musk’s massive new GigaTexas factory is designed currently to produce 100 GWh of cells. Now volume has tripled quarter over quarter and the focus is shifting towards optimizing cost. 1 at long last, and after a gradual year-long ramp, he is tentatively aiming to manufacture 50,000 units come 2024—alone for North America. In fact, the company should continue growing customer vehicle deliveries at its current blistering pace of 50% or more on average every year. NEXT-GEN CELLS: Last quarter Musk admitted difficulties getting his 4680 cells to meet his expectations. Later in the call, Musk added that the rebranded robotics and A.I. Even if next year is a very difficult year,” Musk said. “This is the first time I’ve seen that potential.”

Shares of Tesla (TSLA -6.65%) declined 6.7% on Thursday after the electric vehicle (EV) maker's sales and delivery forecast failed to impress investors.

The company's vehicle deliveries rose to 343,830, up from 241,391 in the year-ago period, representing growth of 42%. Tesla's revenue surged 56% year over year to $21.5 billion in the third quarter. [TSLA](/quote/nasdaq/tsla/) -6.65%) declined 6.7% on Thursday after the electric vehicle (EV) maker's sales and delivery forecast failed to impress investors.

ELON Musk sees Tesla becoming bigger than the combined valuation of Apple and Saudi Aramco one day. Wall Street is saying, not so fast.

BloombergNEF's prediction that the SUV will crack the top five this year looks spot-on.

Elon Musk has a broad target to grow sales around 50% annually. While the company now expects to fall just short of that mark this year, one of its models is climbing toward the top of global sales rankings. Tesla just followed up a vehicle deliveries report that

Tesla's Q3 earnings results beat on EPS but missed on revenue. Read why I consider yesterday's release a negative catalyst but rate TSLA stock a Hold ...

Xi Jinping recently signalled at China’s party congress that he would not be ending zero COVID, so this remains a risk to watch out for. Finally, we have the other elements of free cash flow: capital expenditure and working capital. So I won’t forecast continual declines in costs, but I will assume that they grow slower than revenue, to account for the fact that management is trying to keep them under control. $12 billion is about 1.7% of Tesla’s market cap, and 60% of one day’s [dollar trading volume](https://finbox.com/NASDAQGS:TSLA/explorer/volume_dollar_avg_3m). Musk’s $4 trillion Tesla stock price target is a red flag, not because it’s impossible to hit, but because it signals that Musk feels an urgent need to "gin up" TSLA stock. [trades at](https://seekingalpha.com/symbol/TSLA/valuation/metrics) 50 times earnings and 49 times cash flows–multiples that, although high, are no higher than the P/E ratio Amazon ( [AMZN](https://seekingalpha.com/symbol/AMZN)) has sustained for decades. At today’s prices, it It is quite possible that Musk will have to sell more Tesla stock in order to buy Twitter. Is a dump coming next?” In fact, she even implied in the article title that more sales were planned. However, the after-hours trading turned decisively negative just a few minutes after the markets closed. Further, TSLA rose in the earliest minutes of after-hours trading, as the The quarter was marred by a number of issues, including supply chain issues in China, the Twitter ( [TWTR](https://seekingalpha.com/symbol/TWTR)) deal, and [inflation](https://seekingalpha.com/news/3892865-tesla-skids-lower-as-logistical-slowdowns-fx-factor-into-light-revenue-tally).