Time to Load Up on Tesla Shares

      I want to first congratulate everyone that has been holding onto Tesla (TSLA)for the long haul. The chance investors have taken on the stock has had a massive pay off... the companies shares are up 670% in the last five years and I would even send my congrats. to people that are new investors in the company. It seems like for the first time ever, Tesla can turn a profit and actually show some stability moving forward.

       With that being said, Tesla blew wall streets expectations out of the water during their last quarterly earnings. The Tesla 3 was the highest grossing revenue vehicle in quarter three, easily beating the next two largest revenues from The Honda Accord and Toyota Camry. They were able to push up volume sales as well- they had the fifth largest sale volume falling behind the Civic, Accord, Camry and Corolla. But what's even more intriguing about the Model 3, is that from all the customers that had trade-ins- half traded in a vehicle that had an MSRP under $35,000. That means that customers are trading up in value and that the Model 3 has larger market potential than just the luxury sedan market.


       The long-standing issue Tesla was the inability to grow their revenue(And make a profit)- but it did not disappoint this time around. Due to the growth in Model 3 deliveries, they were able to achieve 82% QoQ revenue and 158% YoY.

EPS was $2.90.. compared to the ($0.19) expected.


       You can compare almost any financial metric from this 10q and compare it to last years and see a massive change in the company.

Automotive sales are up nearly 3x
Net income went from ($671,163,000) to $254,673,000

      Overall, the company seems to be turning things around, even though they fell short of production of 5,000 per week for the quarter.. they came close- due to their large push of 5,300 cars per week for the last few weeks of the quarter. They are receiving more and more orders and are delivering more cars in a timely manner.



     

2 comments:

  1. Tesla made a revolution in the cars’ world. Before Tesla, electric cars were just seen as quirky strange devices and hadn’t been taken seriously. Some months ago a friend of mine bought a pre-owned Tesla. He’s now so lucky with his choice because he was smart enough to check car’s past here https://www.faxvin.com/license-plate-lookup/mississippi. He entered vehicle identification number and got all public data like manufacturer info, accident and insurance history, service, registration and inspection history etc. A very convenient tool, isn’t it?

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