From Nasdaq:

Tesla, Inc. (NASDAQ:TSLA) prepares to announce fourth-quarter results, with analysts expecting modest revenue growth and a decrease in profits. Anticipated adjusted earnings are 74 cents per share, and revenue is estimated at $25.58 billion, compared to last year’s $1.19 per share and $24.32 billion revenue.

With an average consensus revenue of $25.72 billion and 73 cents in adjusted earnings per share, experts speculate the importance of fourth-quarter auto gross margins and 2024 deliveries guidance at Tesla. They stress the key investment controversy of whether auto gross margins have bottomed.

The stock market eagerly awaits Tesla’s earnings call, focusing on whether auto gross margins have stabilized, the timing of the $25K vehicle, the speed of the Cybertruck ramp, and the introduction of a potential mass-market vehicle named “Redwood” in mid-2025. The company grapples with diminishing demand and fluctuating profitability amid global economic uncertainty affecting electric vehicle demand.

The fear of a margin contraction and slowing demand have caused Tesla stock to plummet to $200, significantly lower than its peak in November 2021 at $414.50. However, the stock climbed 1.37% to $212 in premarket trading, showing a slight rebound. After cutting prices in China and Europe this year, the company reignites fears of margin contraction.



Read more: As Tesla Prepares To Release Key Q4 Earnings Report, Fund Manager Details What It Would Take To Charge Up Sagging Stock