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Tesla Stock Indifferent Despite Record Q2 Deliveries

Today Tesla released its Q2 2019 delivery and production numbers to the world, and it looks like the electric auto manufacturer managed to smash its prior record by almost 5,000 cars. After months of uncertainty and harsh criticism from financial analysts, it seems like Tesla is determined to show that they are still going strong. Regardless, most major analysts are refusing to back down from their previous poor outlook on Tesla’s stock market shares.  So what did we learn from the Tesla Q2 2019 delivery report?

Tesla Q2 2019 Deliveries and Production

Perhaps you remember our article back in May when we reported on a leaked email from Tesla CEO Elon Musk, predicting that Tesla would have a record-setting Q2 of 2019.  It looks like Musk’s prediction has come true.  The electric car manufacturer delivered 95,200 cars during the three months ending on June 30, which is a 51.1 percent increase over a pretty weak first quarter and smashed its previous record of 90,700 deliveries set in Q4 of 2018.  They also produced a total of 87,048 cars. 

Production totals for the Model 3 came to 72,531, while the combined production totals for the Model X and Model X came to 14,517.  Deliveries for the Model 3 came to 77,550, while combined deliveries for the Model S and Model X came to 17,650, which beat analyst expectations across the board.  That means that Tesla saw a growth of 51 percent from Q1 to Q2 of 2019, and a growth of 217 percent since Q2 of 2018.  Talk about impressive!

Since Tesla’s orders are not reflected in delivery numbers until after the car is delivered to its new owner, there are additional cars still in transit that were not counted in this report.  According to Tesla, 7,400 cars were still on their way to buyers, and those sales will be reflected in the Q3 report of 2019. 

Wall Street Analysts Remain Skeptical

Tesla’s stock jumped by 7 percent yesterday in after-market trading after the release of the good news.  Despite this, most Wall Street analysts remain cautious about Tesla’s purported success.  The financial earnings report for Q2 has not yet been released, and these analysts seem pessimistic that increased deliveries and production will equal a matching surge in profit.  Because of this, their estimates for this quarter’s earnings and revenue remain unchanged, as well as their advice regarding the price of Tesla stock.

The Q2 earnings report is expected to be released on August 7th.


Note:  Anything you read here is an opinion and is for information purposes only.  It is not intended to be investment advice.  Seek a properly licensed professional elsewhere for investment advice.

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