TSLA: Tesla Stock Powers Higher After EV Maker’s Deliveries Top Estimates at 443,956

Shares rose as much as 10% Tuesday after an easy beat of estimates had investors excited about new growth on the horizon.

• Tesla stock TSLA powered higher by about 10% Tuesday after the company released its quarterly deliveries number. A total of 443,956 electric cars were shipped in the quarter ended June, comfortably above expectations for 438,000 vehicles. However, it’s fair to say that the consensus view was a low ball for the EV maker. In reality, and by a metric that matters more, deliveries fell.
• On an annualized basis, delivered vehicles fell 4.7% compared with the same quarter a year ago. It was Tesla’s second straight quarterly decline in vehicle sales and an indication that dwindling revenue from cars sold is still a thing. Stiff competition from the East is absorbing demand. China’s BYD 1211 came in hot with 426,000 second-quarter deliveries. The Chinese EV maker briefly overtook the American powerhouse in the last quarter of 2023.
• Still, things are looking better for Tesla and maybe it’s even out of the slump. Investors appear more optimistic about holding its shares. The stock managed to erase the bigger part of its 40% decline on the year and is now just about 8% under the flatline since early January. From its low point in April to present market prices, shares have staged a recovery of more than 60%.