Tesla is scheduled to release its first-quarter earnings report after the U.S. stock market closes on Wednesday.
According to consensus estimates compiled by the London Stock Exchange Group (LSEG), Wall Street expectations for the company's performance are as follows:
Earnings per share: Expected to be $0.37 Revenue: Expected to be $22.64 billion
So far this year, Tesla's stock performance has lagged behind all other major technology stocks, declining 14% as of Tuesday's close, primarily dragged down by weak sales in its core automotive business. Over the same period, the S&P 500 index has risen more than 3%.
Analysts anticipate that Tesla's first-quarter revenue will increase approximately 17% year-over-year from the $19.3 billion reported in the same period last year, potentially making it the strongest quarter for growth since mid-2023.
Tesla has faced a challenging past year: competitors from China, such as Xiaomi and BYD, have launched high-tech models offering strong value, putting pressure on Tesla's aging product lineup. Simultaneously, the company has faced ongoing consumer boycotts related to CEO Elon Musk's collaboration with the Trump administration, his outspoken political comments, and his support for far-right figures.
Earlier this month, Tesla reported first-quarter vehicle deliveries of 358,023 units, representing a sequential decline and a mere 6% year-over-year increase. The company's annual deliveries have experienced year-over-year declines in the past two years.
In an effort to shift market sentiment, Musk has pivoted focus towards autonomous driving technology and humanoid robotics. Although Tesla is testing a small fleet of driverless vehicles for a ride-hailing service in Texas, its revenue remains heavily reliant on electric vehicle sales, and it has yet to launch a mass-produced vehicle specifically designed for autonomous taxi services.
Tesla currently sells its "Full Self-Driving (Supervised)" system for $99 per month, but this system still requires a human driver to remain attentive and ready to take control of the steering wheel or brakes at any time. The company recently received approval to sell this version of the system in the Netherlands and is seeking broader regulatory approval across Europe.
The delivery report also showed that Tesla deployed 8.8 gigawatt-hours of energy storage systems in the first quarter of 2026, falling significantly short of the record 14.2 gigawatt-hours set in the fourth quarter of 2025, disappointing Wall Street.
Musk's attention was highly divided during the quarter: he merged his aerospace and defense company, SpaceX, with the artificial intelligence firm xAI, in a deal valuing the combined entity at $1.25 trillion, and is now preparing for a record-breaking IPO of this merged company.
In its previous earnings report in January of this year, Tesla disclosed it had invested approximately $2 billion in xAI, and this stake has since been converted into shares of SpaceX. Tesla and SpaceX are advancing several joint projects, including the construction of a Terafab chip manufacturing plant in Texas and deeper integration of xAI's Grok large language model and AI chatbot into Tesla vehicles and robotics products.
Ahead of Wednesday's earnings call, investors have submitted questions online, focusing on the future collaboration between Tesla and SpaceX, and whether the two companies might ultimately merge.
Shareholders are also eager for specific data on Tesla's long-promised autonomous driving technology, a timeline for the launch of the next-generation Optimus humanoid robot, and updates on the ride-hailing business, which currently trails behind Alphabet's Waymo in the U.S. and Baidu's Apollo autonomous driving service in China.
Tesla's existing robotaxi service in California still primarily operates with human drivers or with in-car safety supervisors present. The company recently announced an expansion of the service to Dallas and Houston.
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