Welcome to my other website”Tesla’s Shares Surge Over 10% After Q2 Deliveries Beat Expectations”. Shares of Tesla Inc. soared more than 10% on Tuesday, marking the electric vehicle giant’s first quarterly beat in four quarters. The unexpected second-quarter delivery numbers surprised investors, pushing the stock to its highest close since January 10, when it finished at $233.94. This one-day percentage increase of 10.20% was the largest since April 29, when the stock gained 15%. Over the past six sessions, Tesla’s stock has risen nearly 27%.
Record Deliveries Boost Investor Confidence
Tesla reported delivering 443,956 vehicles in the second quarter, a 4.7% decrease from the same period last year but 1.8% above the FactSet consensus of 436,000 vehicles. The delivery figures included 422,405 Model 3 and Model Y vehicles. According to FactSet data, the margin of this beat was the widest since the fourth quarter of 2021.
“It was an encouraging outcome versus expectations both on the demand and supply sides,” commented Citi analyst Itay Michaeli in a Tuesday note. Michaeli expressed optimism about improving sentiment toward Tesla shares and the broader electric vehicle market, which has faced negative sentiment over the past six months.
Stock Recovery Despite Premarket Concerns
Before the release of the delivery data, Tesla’s stock was down 1.7% in premarket trading. Concerns about missing expectations were exacerbated by reports from Dow Jones Newswires showing a 24% year-over-year drop in Tesla’s EV sales in China for June, and a 2.2% decline from May.
Despite these concerns, Tesla also reported producing 410,831 EVs in the second quarter, a 14.3% decrease from the previous year. Wall Street had broadly lowered its expectations ahead of the release, according to Stifel analyst Stephen Gengaro. Gengaro attributed Tesla’s strong performance to its revamped Model 3, which likely fueled the “solid beat.”
Upcoming Announcements and Events
Tesla is set to report its full second-quarter results on July 23, after the market close, with a scheduled call with analysts at 5:30 p.m. Eastern to discuss the results.
Additionally, the company has scheduled a “Robotaxi day” on August 8. Baird analyst Ben Kallo noted significant investor interest in the event. Kallo highlighted several unresolved variables, such as how Tesla will charge for the service, vehicle uptime, and costs associated with compensating drivers for using their vehicles in the fleet. He expects Tesla to defer discussing these and other details until the event.
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The Burden of High Expectations
Stock Performance and Market Comparison
Tesla’s stock has been on a remarkable upward trend over the past couple of months. Since closing at a 15-month low of $142.05 on April 22, the stock has rocketed 55.2%. Over the past three months, it has rallied 32.3%, significantly outpacing the 5% gain in the S&P 500 index during the same period.
The unexpected delivery figures and subsequent stock surge underscore Tesla’s resilience and potential for continued growth. As the company prepares for its upcoming earnings report and Robotaxi day, investors remain keenly interested in Tesla’s future performance and strategic developments.
