Tesla Beat Expectations Once Again

Illustration for article titled Tesla Beat Expectations Once Again
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Tesla, more than ever, is a Rorschach test, a company that drives some people absolutely mad at its very mention, a company that some people have been bored with for years, a company that some people would sacrifice a limb for. Maybe the only interesting thing about it is that it keeps persisting.

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That persistence looked, today, like Tesla’s announcement that it had delivered 90,650 cars in April, May, and June. Breaking that down, 80,050 of those were Model 3 and Model Y and 10,600 of those were the bigger, older Model S and Model X. Tesla said it built 82,272 cars in that same period, 6,326 of those Model S and Model X and 75,946 of those Model 3 and Model Y.

According to CNBC, analysts had expected around 72,000 deliveries for Tesla. CEO Elon Musk had hinted earlier this week that the automaker might be on track to breaking even this quarter, despite the pandemic and the month-and-a-half long shut down of its factory in Fremont, California.

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The second-quarter delivery numbers were a smidge higher than in the first quarter, when Tesla said it delivered 88,400 vehicles, and likely reflect the ramping up of output at Tesla’s Shanghai factory.

From Bloomberg, which talked to some analysts this week:

“The lesson learned by now is that TSLA shares tend to ‘work’ when something new has launched,” Jeffrey Osborne, a Cowen Inc. analyst with the equivalent of a sell rating on the stock, said in a report Tuesday. “At this point both the Model Y and China built cars are ramping up.”

[...]

“With strong production in China and better-than-expected production in Fremont, we think that Tesla will beat what appears to be a low bar for deliveries,” Brian Johnson, a Barclays Plc analyst with a sell-equivalent rating on the stock, wrote in a report.

The next hurdle for Tesla will be to ensure that the Model Y does what Tesla hopes it can do, which is outsell everything else it has offered so far, and by a big margin. Tesla did not say break out Model Y sales from Model 3 sales today, so it’s hard to know how many of the 80,050 were 3s and how many were Ys. But this is encouraging from their perspective.

Your reaction to it will probably tell you all you need to know about how you feel about Tesla as a company. Tesla’s market valuation as of this writing is just over $224 billion, or the biggest of any automaker in the world.

News Editor at Jalopnik. 2008 Honda Fit Sport.

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DISCUSSION

ash78
Ash78, just done until Kinja is fixed for good

The stock market is on crack right now, but TSLA stock is running down Wall Street naked, freebasing, with a needle in each arm. That’s talent.

Their day will come and the drop will be harsh, but I’m not going to stop cheering for them to succeed. And for them to finally make a car that doesn’t look like a melted suppository. But mainly to succeed.