Tesla Investors Brace for Impact

Tesla reports its earnings on Tuesday, and it’s likely to be a doozy.  Elon Musk’s electric vehicle maker has already told analysts the number of Teslas it sold in the first three months of the year was about 9% lower than for the same period a year earlier. Wall Street analysts are currently expecting a 4% dip in revenue compared to the first three months of 2023. Tesla spent the weekend slashing prices on its vehicles and Full Self-Driving software to help move some of the unsold cars piling up at its stores. 

These are just a few of the factors making many Tesla investors decidedly grumpy these days, driving its shares down over 42% this year. But their mood could turn from bad to worse depending on what Musk says on Tuesday’s earnings conference call. “If Musk is flippant again and there is no adult in the room on this conference call with no answers then darker days are ahead,” Dan Ives, a Wedbush Securities analyst, mused in a recent research report.