Tesla Stock Analysis: Decoding the Bullish and Bearish Signals

Tesla Unplugged: Demystifying the Financial and Technical Road Ahead

Hi fellow investors and welcome back for a Quant data driven analysis.

A Snapshot of Tesla's Journey

Tesla has been a trailblazer in the electric vehicle (EV) industry, spearheading innovation and pushing the boundaries of what's possible. From its humble beginnings with the Roadster to the mass-market Model 3 and beyond, Tesla has continually disrupted the automotive sector. But how does this innovation translate into financial performance? And what technical advancements is Tesla making to stay ahead of the competition?

Financial Performance: Driving Towards Profitability

Revenue Growth and Profitability

Tesla's revenue has seen substantial growth over the past few years. The company's innovative products and expanding global presence have contributed to this upward trajectory.

Key Financial Metrics (as of Q3 2024):

Revenue and Earnings

• Revenue reached $25.18 billion, slightly below analyst expectations of $25.4 billion

• Adjusted earnings per share of $0.72, significantly beating estimates of $0.60

• Free cash flow of $2.9 billion

• Gross margin improved to 19.8%, substantially exceeding expectations of 16.8%

Production and Deliveries

• Total deliveries: 462,890 vehicles

• Model 3/Y deliveries: 439,975 units

• Model S/X/Cybertruck deliveries: 22,915 units

• Total production: 469,796 vehicles

Automotive Sales and Market Share

Tesla's primary revenue driver is automotive sales. The Model 3 and Model Y have been particularly successful, capturing significant market share in the EV segment.

• Model 3/Y Deliveries: 228,882 units in Q3 2024

• Year-over-Year Growth: 43%

This growth showcases Tesla's ability to scale production and meet increasing demand.

Geographical Expansion

Tesla has been expanding its global footprint with Gigafactories in the United States, China, and Germany. This global presence not only increases production capacity but also reduces supply chain dependencies.

Technical Innovations: Staying Ahead of the Curve