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Stephanie Link, a notable Wall Street analyst, highlights the latest financial results of Tesla. The electric vehicle giant reported missing analyst expectations across various key financial metrics, including earnings per share, revenue, and the number of vehicles sold.
Moreover, the company's free cash flow and automotive gross margin have not improved in over a year, impacted by continuous price cuts. This marks the second consecutive quarter where Tesla's delivery volumes have dropped significantly, a situation compounded by a notable 18% rise in research and development spending.
Despite these setbacks, Tesla's stock has only seen a minor decline, suggesting its market perception as a technology company rather than purely an automaker. Link's analysis underscores the broader narrative where investors may be valuing Tesla's innovation potential over immediate financial performance.