🎁What the Tigers Say | Q1 earnings short of expectations. How can TSLA rise 10%?

TigerClub
04-24

Tesla's FCF for 2024Q1 was at its lowest in four years, at -$2.53 billion! Elon mentioned during the earnings call that perhaps Model 2 might be produced by early 2025. In response, Tesla's stock price surged nearly 10% in after-hours trading.

Will $Tesla Motors(TSLA)$ really reverse this time, or is it just a continuation of the downward trend?

Below are some insights from Tigers @Jo Ker, @Mrzorro, and @EV_Dig. Which opinions do you agree with？

🎁Special Notes: Whoever showed up on the” What the Tigers Say” column will receive 100 Tiger Coins and an exclusive interview invitation to honor your contribution.

Click titles to read the full analysis:

1. @Jo Ker: Elon Musk forecast for Model 2 production period fit perfectly for my trade timeline.l am vested in long call options till Jan next year with a strike price of $220.

Key Points:

  • My advice is to buy 20-25% for your first trade and buy up or down for the rest of it. l am as comfortable to buy at the $150-$160 levels now as averaging down at $120 and $102 if things go south after earnings report. 

  • You want to be in it for your initial reasons. In fact, Elon Musk forecast for Model 2 production period fit perfectly for my trade timeline and it is the best news l can hope for so l don't mind buying th bulk of my position at higher prices. So l am vested in long call options till Jan next year with a strike price of $220.

2. @Mrzorro : Elon Musk forecast for Model 2 production period fit perfectly for my trade timeline.l am vested in long call options till Jan next year with a strike price of $220.

Key Points:

  • Teslas beginning to 2024 was worse than expected. Earnings fell 55% in the first quarter, and quarterly sales declined year-over-year for the first time in nearly four years. Both numbers were below analysts' average estimate.

  • Musk said Tesla was accelerating the launch of new models, including vehicles that would sell at more affordable prices.

  • Musks Desire for More Control. In January, Musk said he wouldn't feel comfortable developing robotics and artificial intelligence at Tesla without having 25% voting control of the company's stock. "Unless that is the case, I would prefer to build products outside of Tesla," he tweeted.

3. @EV_Dig: However, cheap models also face fierce competition and profitability issues. Given Tesla's PE ratio of 65, cheap models are not a panacea for saving Tesla.

Key Points:

  • The decline in revenue was mainly affected by low sales volume, Tesla sold 386,800 vehicles in the first quarter of this year, down 8.5% year-over-year.

  • According to the China Passenger Car Association, Tesla's sales in China in March were only up 0.2% year-over-year, at 89,064 units.

  • In the European and American markets, consumers are gradually favoring plug-in hybrid vehicles. According to the Wall Street Journal, plug-in hybrid sales in the US market surged 43% in the first quarter, while bettery electric vehicle sales flattened out, only growing 2.7% for the quarter.

  • However, cheap models also face fierce competition and profitability issues. Given Tesla's PE ratio of 65, cheap models are not a panacea for saving Tesla.

Questions for you:

Is TSLA getting out of the woods?

Or is it just a continuation of the downward trend?

🎁Prizes

🐯 All valid comments on the following post will receive 5 Tiger Coins.

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⏰Duration

  • 1 May (24pm EDT)

Will Tesla Hit $200 With FSD Breakthrough?
Tesla jumps to $190 in the premarket trading. Elon Musk’s quick visit to China paid immediate dividends, with Tesla Inc. clearing two key hurdles to introduce its driver-assistance system to the world’s biggest auto market. The US carmaker will partner with Chinese tech giant Baidu Inc. for mapping and navigation functions to support what it calls Full-Self Driving, or FSD. ----------------- What's your target price for Tesla's rebound? Back to $200 tonight?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • icycrystal
    04-24
    icycrystal
    $Tesla Motors(TSLA)$ is going down the hill, by how much is anyone's guess. competitions are stiff and even though TESLA has its loyal fans, don't think it's enough to make up for the short fall.

    don't think Tesla is out of the woods and would probably continue on downward trend...

    @HelenJanet @Shyon @Aqa @LMSunshine @koolgal @rL @GoodLife99 @Universe宇宙 @TigerGPT

    Is TSLA getting out of the woods?


    Or is it just a continuation of the downward trend?


    All valid comments on the following post will receive 5 Tiger Coins.

    • Shyon: 
      Thanks for tag gogogo
    • TigerGPT: 

      Based on the available news and viewpoints, here are the key points regarding Tesla's recent performance:

      Price war and competition: Tesla is facing stiff competition from cheap Chinese producers, which has led to a price war. This increased competition is putting pressure on Tesla's sales and market share.

        

      Social media problems: Tesla has been facing social media issues, with CEO Elon Musk being heavily involved in social media and spending a significant amount of time on it. This distraction may impact the company's overall performance and reputation.

        

      Earnings report: Tesla's first-quarter results were not meeting analyst expectations, with a 9% fall in first-quarter revenue. However, the results were positively received by shareholders, possibly due to Elon Musk's promise to fast-track the launch of "more affordable" electric vehicles.

        

      Accelerated launch of new models: Tesla has pledged to accelerate the launch of new models ahead of the previously communicated start of production in the second half of 2025. These "more affordable" EVs could help boost sales and address the competition in the market.

        

      Wall Street reactions: Despite Tesla's earnings per share falling short of expectations, the results were seen as a relief by investors, considering the significant decline in Tesla's stock price year-to-date. Some analysts have adjusted their target prices, but the overall sentiment seems cautiously optimistic.

        

      Considering the above information, it is important to note that the stock market is influenced by various factors, and predicting its future movement is challenging. While Tesla has faced challenges and a downward trend recently, the accelerated launch of new models and potential market opportunities in the electric vehicle industry could have a positive impact on the company's performance.

      However, it is crucial to conduct thorough research, analyze the company's financials, and consider the risks associated with investing in Tesla or any other stock. It is recommended to consult with a financial advisor or do further research before making any investment decisions.

      Risk Disclaimer: The information provided is for reference purposes only and does not constitute investment advice. Investing in stocks involves risks, including the potential loss of principal. Always conduct your own research and consider your investment goals and risk tolerance before making any investment decisions.

  • Success88
    04-24
    Success88
    Tesla is still not getting out of wood yet but with the recent manpower cut and introduced cheaper EV type i believe the growth is sfill potentially huge. I will invest when the stock price will be further drop to $135. Right now may still have a chance to drop back @TigerClub
  • Shyon
    04-25
    Shyon
    The reason why Tesla rebounds is mainly due to the news of early launch of affordable models, early sales of robots, and the continued advancement of self-driving FSD and Robotaxi.

    Besides, AWS technology is also another key factor, turning Tesla's huge fleet into distributed inference computing GPUs with their own AI computing computers, power and cooling systems, which can be used to rent for computing power when they are idle.

    I think this rebound is a good start for Tesla, however Tesla needs to prove its plans in incoming quarters. Else the share price will be back to square.

    Personally, I am still a fan of Tesla stock! $Tesla Motors(TSLA)$ gogoogogo

    @TigerStars @CaptainTiger @MillionaireTiger @TigerClub @Tiger_comments @TigerGPT

    • Shyon: 
      Come and join @koolgal @rL @icycrystal @b1uesky @Universe宇宙 @GoodLife99 @Fenger1188
    • TigerGPT: 

      The recent rebound in Tesla's stock price can be attributed to several factors. According to the news, the early launch of affordable models, the early sales of robots, and the continued advancement of self-driving Full Self-Driving (FSD) and Robotaxi technology have contributed to the positive sentiment surrounding Tesla. Additionally, the utilization of AWS technology, which allows Tesla's fleet to be used for distributed inference computing, has also been seen as a positive development.

      However, it is important to note that Tesla still needs to prove its plans in the upcoming quarters to sustain this rebound. The company's first-quarter free cash flow (FCF) was at its lowest in four years, and the decline in revenue was mainly affected by low sales volume. Tesla sold 386,800 vehicles in the first quarter of this year, down 8.5% year-over-year. Furthermore, Tesla is facing fierce competition and profitability issues, and the PE ratio of 65 indicates that cheap models alone may not be sufficient to save the company.

      In summary, while the recent rebound in Tesla's stock price is a positive start, it is crucial for the company to demonstrate its plans and address the challenges it faces in the coming quarters. As an AI, I cannot provide investment advice, but it is important for investors to carefully evaluate the company's performance and prospects before making any investment decisions.

      Please note that the movement of stock prices is influenced by various factors, including market sentiment, investor expectations, and company-specific news. It is always recommended to conduct thorough research and analysis before making any investment decisions.

      Risk Disclaimer: The information provided is for reference purposes only and does not constitute investment advice. Investing in stocks involves risks, including the potential loss of principal. Past performance is not indicative of future results.

  • nomadic_m
    04-25
    nomadic_m
    *Is $Tesla Motors(TSLA)$ getting out of the woods?*

    $Direxion Daily TSLA Bear 1X Shares(TSLS)$ or $T-REX 2X INVERSE TESLA DAILY TARGET ETF(TSLZ)$ in the short term. note - leverage ETF is not for the weak

    in the meantime, buy $Tesla Motors(TSLA)$ on a discount at the support level to keep for longer term. Elon is too arrogant to let his baby go bust

  • highhand
    04-24
    highhand
    the trend will continue downwards after the euphoria of Elon's promises.... revenue growth will not start until cheaper car, robotaxis, or FSD start generating real income.
  • Guavaxf30
    04-24
    Guavaxf30
    Tesla : Combination of blind believers and market manipulators. Think previous annoucement of Robotaxi to be shown in 8/8….
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