Tesla is set to release its first-quarter earnings report today - here's what to expect
- Tesla will report first-quarter earnings on Monday afternoon.
- The company disclosed its sales numbers for the period earlier in April, topping estimates.
- Analysts expect revenue and profit to remain relatively flat this quarter.
Tesla had a monumental 2020.
It closed out its first profitable fiscal year, came within inches of meeting Elon Musk's target of 500,000 vehicles sold, and saw its share price skyrocket roughly 700%.
2021 appears to be no exception, and Monday afternoon's earnings report will provide a deeper look at Tesla's ability to keep the streak alive.
Here's what Wall Street is expecting from Tesla's first-quarter earnings report, according to a Bloomberg poll of analysts:
- Revenue: $10.42 billion
- Earnings: $0.80 (adjusted) per share
In the fourth quarter of 2020, Tesla reported $10.744 billion in revenue and an adjusted earnings per share of $0.80.
If sales are any indication, Tesla has had a strong first three months of 2021. The electric-car maker beat Wall Street's delivery estimates, selling 184,800 vehicles between January and March despite supply-chain setbacks including a global shortage of semiconductor chips.
Monday's report could give a jolt to Tesla's share price, which has lost some of its luster after 2020's upward tear. Shares have risen just over 3% during a rocky start to 2021, and options trades compiled by Bloomberg indicate the company's stock could jump widely - as much as 7% in either direction - following the report.
Tesla has not issued guidance for 2021 and will likely be pressed for any indication of its expectation for the year. Investors will also be taking a close look at Tesla's regulatory tax credit revenue, which the company makes from sales to other automakers and that made up the bulk of the company's profits from previous quarters.
Tesla's production capacity and vehicle sales are expected to grow substantially in 2021 as new plants in Germany and Texas get up and running, and as it accelerates manufacturing in Shanghai.
But the company is also facing an increasing number of rivals in the electric-vehicle space. Several automakers including Volkswagen, General Motors, Ford, and others plan to release an onslaught of EVs onto the market in the coming years, some of which are already beginning to eat into Tesla's dominant market share.
"Tesla's current valuation appears to us to insufficiently incorporate what is likely to be greatly intensified competition in the market for battery electric vehicles and leaves little room for less than perfect execution," JPMorgan analysts said this month.