Tesla Stock Speeds vs. Brink as an analyst warns of incredible disaster & # 39;
But with the electric vehicle giant scheduled to report revenue next week, an analyst warns
Tesla stock: Elon Musk Groupies should brace for Impact
Tesla shares have crashed this year on a bad news after the other. | Source: Yahoo! Finance
The electric vehicle specialist will make its results in the quarter on April 24. The company already warned investors to expect a steep decline in deliveries that will also miss Wall Street's expectations.
Elon Musk-led company produced 77,100 cars in the first quarter of 2019. Model 3 represented 62,950 units. Tesla's Q1 deliveries came in at 63,000 units, an impressive 110% increase last year.
Deliveries fell 31% quarter over the quarter when Tesla entered Logistics Hell and had to ask volunteers to help deliver cars. Critics argued that it was not a professional approach for a company wishing to interfere with the car market.
According to CFRA analyst Garrett Nelson, TSLA shareholders should bow to a "direct disaster" when the company reports revenue on Wednesday:
"Our suspicion is that Q1 EPS could be a direct disaster, given that Tesla guided a month-long loss in the quarter, and its inherently high operating level. "The cheaper model 3 and the phasing out of the federal EV tax credit can cause havoc on the company's bottom line. In fact, a surcharge to compensate for the reduced tax credit will affect Tesla's quarterly revenue to $ 180 million, as reported by CNN.
Elon Musk hopes to blend investors ahead of potentially invalid revenue
Tesla planned his investor day before the potentially unsightly earnings report. | Source: Justin Sullivan / Getty Images / AFP
Wall Street will keep an eye on what Elon Musk has to say about the company's ability to meet this year's delivery guide. But even if he does not give a good answer to that question, Musk has lined up another catalyst that could save the stock price from crashing if the income statement doesn't impress.
Tesla planned investor day for April 22, and the Company is expected to give a closer look at the self-propelled technology. The company claims that its entire FSD computer is already in production. Tesla also says it can distribute autonomous driving capabilities using over-the-air software updates.
Elon Musk recently shouted that Tesla could bring a fully self-propelled vehicle to the market faster than many analysts expect. He also claimed that his company is "far ahead" for the others during the development of self-driving cars. [19659000]
There will undoubtedly be music for Tesla fanboys, but the reality can be more complicated since the security record of Tesla – Cars are far from impeccable.
Next week will be crucial for Tesla. How Elon Musk manages these critical tests can determine if the EV love is about to become "next Amazon" or will instead move investors towards "direct disaster".
