Tesla Q2 earnings miss, but revenue beats

Tesla (TSLA) shares are falling after its second quarter adjusted earnings and free cash flow fell below Wall Street's expectations. RBC Capital Markets global autos analyst Tom Narayan joins Market Domination Overtime to break down the EV maker's earnings and its robotaxi plans.
Narayan notes that while gross margins appeared like a beat, a major piece of Tesla's second quarter earnings came down to regulatory credits. He notes that if regulatory credits were not considered, Tesla's earnings would likely look different. With former President Donald Trump recently vowing to remove incentives for the auto industry, he explains, "the bigger issue is if they go after the IRA (Inflation Reduction Act) in the $7,500 credit, that would be a problem." He states that the number one factor turning consumers away from EVs was pricing, which led Tesla and other EV makers to rely on IRA credits in order to see their deliveries rise. He adds, "it'll be really difficult for any administration to neuter the IRA. It's a lot of jobs... it's also law. It's very difficult to overturn a law like that."
As investors wait to hear more about Tesla's robotaxi plans after delaying the launch to October, Narayan argues, "I know they said it had some design issues, but I do wonder and many investors wonder if it has to do with them trying to get regulatory approvals to launch a service similar to, let's say, Waymo or Cruise have." He says that investors "want something real" on this front, rather than "a bunch of PowerPoint slides." He continues, "When they eventually unveil this, I think they'll want details on timing, profitability, and they'll want something within six months to a year, not ten years down the road."
#youtube #Tesla #stocks

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[chessdad]

Tesla sales are lagging as vehicles with Musk AI can only take far right turns.

[cadiotsavant]

Last time I checked, Tesla has delivered 0 products on time. Why would people think this is going to be different?? Because you gave the worst CEO in the history of the world a 45B bonus!

[wenonavu]

Thanks for the advice! Got NVDA66K, feeling bullish! 🚀

[yashashreeuri]

NVDA66K is still extremely undervalued

[actondon]

if you think tsla's fsd can be robotaxi solution, you certainly no nothing in auto drive tech and industry

[maxpayne]

Awful results again. This stock is a horrific investment.

[VegasVaron]

Tesla’s RoboTaxi is a joke! Took Waymo 10+ years to develop “true” self driving cars. RoboTaxi is all HYPE right now, maybe in 5-7 years…maybe.

[MrAlanfalk]

The 7500 credits are bad for EVs because cars with a litte battery + gasmoter (BEV) also get the credits. Musk was against those from the beginning, but it would be counterproductive not to use them when others do. Tesla will have a crazy good next 18 month with new cars, energy exploding, Robotaxi, Optimus bots, Semi truck factory done, cybertruck scaling, Dojo done, their super computers up and running, lithium refinery done, 4680 batteries is solved = cheaper batteries. Also Tesla China are now ramping and sales are only 2% lower than last year, the Refreshed model Y will be out, the roadster and the smaller car. Not investing in Tesla now will be such a mistake 😊

[savrah]

Here we go ppl panicking again when Tesla goes down lol. In few months the opposite 😅

[markplott]

VIP - legacy auto NOT producing many EVs anymore.
focusing on UNSUSTAINABLE Hybrids & ICE vehicles.
TESLA is 100% Sustainable BEV company.
TESLA energy will 5x car business in a few years.
TESLA optimus robot will 10x business, in a few years.

[dietmarstahl]

Some asswhole here is trading against all basics. Good stocks sold to the ground before and after maket release. If Stick become that unpredictable then we have to stop investing in them!!!