Tesla Stock Soars on Q2 Deliveries Beat: What to Know
Tesla stock is higher Tuesday after the EV maker delivered more vehicles than expected in the second quarter. Here's what you need to know.
Tesla (TSLA) stock is higher by more than 9% in Tuesday's session after the electric vehicle (EV) maker disclosed its quarterly deliveries data.
In the second quarter of 2024, Tesla said it delivered 443,956 vehicles. While this was a 4.8% decrease from the 466,140 vehicles it delivered in the year-ago period, it was 14.8% more than the 386,810 vehicles it reported in Q1 2024.
What's more, the second-quarter deliveries topped analysts' expectations. According to CNBC, Wall Street expected Tesla to deliver 439,000 vehicles over the three-month period.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Tesla also said that its total vehicle production in the second quarter of 2024 was 410,831 vehicles. This was 14.3% lower than the 479,700 vehicles it produced in the year-ago period, and was also 5.2% below what it produced in Q1 of this year.
Is Tesla stock a buy, sell or hold?
Tesla has been the worst-performing Magnificent 7 stock so far in 2024, falling more than 7% for the year to date. It's also woefully lagged the S&P 500, which is up roughly 15%. However, the stock has rallied of late, gaining nearly 60% since its first-quarter earnings release on April 23.
Despite the consumer discretionary stock's recent run higher, Wall Street remains on the sidelines. According to S&P Global Market Intelligence, the average analyst target price for TSLA stock is $183.03, which is a discount of about 20% to current levels. Additionally, the consensus recommendation is a Hold.
Wells Fargo is one of the more bearish research firms, with a Sell rating and $120 price target, according to CNBC.
In a report released Monday, Wells Fargo analyst Colin Langan said his firm sees "declining delivery growth driven by lower demand and diminished return on price cuts," adding that there is a "likelihood of more price cuts and lower volumes" throughout the rest of 2024.
Wells Fargo's $120 price target represents a discount of about 48% to current levels.
Related Content
-
The Retirement Donor's Checklist: Key Deadlines by Gift TypeRetirees have some charitable contribution options that can help avoid spikes in income from RMDS and capital gains.
-
Cooler Inflation Supports a Relief Rally: Stock Market TodayInvestors, traders and speculators welcome much-better-than-hoped-for core CPI data on top of optimism-renewing AI earnings.
-
Are T-Mobile's Prepaid Perks a Home Run or a Strikeout?T-Mobile's prepaid lineup promises MLB.TV, T-Mobile Tuesdays and hotspot data. But do the perks make it worth switching?
-
Cooler Inflation Supports a Relief Rally: Stock Market Today
Investors, traders and speculators welcome much-better-than-hoped-for core CPI data on top of optimism-renewing AI earnings.
-
The November CPI Report Is Out. Here's What It Means for Rising PricesThe November CPI report came in lighter than expected, but the delayed data give an incomplete picture of inflation, say economists.
-
5 Smart Things to Do With Your Year-End Bonus, From a Financial ProfessionalAfter you indulge your urge to splurge on a treat, consider doing adult things with the extra cash, like paying down debt, but also setting up a "fun fund."
-
Are You a Gen X Investor? Here's How You Can Protect Your Portfolio From an AI BubbleAmid talk of an AI bubble, what's the best course of action for investors in their 50s and 60s, whose retirement savings are at risk from major market declines?
-
Hey, Retirees: Put Your Charitable Gifts in a Donor-Advised Fund (and Enjoy Your Tax Break)A donor-advised fund is a simple (really!), tax-smart strategy that lets you contribute a large, tax-deductible gift now and then distribute grants over time.
-
Nasdaq Sinks 418 Points as Tech Chills: Stock Market TodayInvestors, traders and speculators are growing cooler to the AI revolution as winter approaches.
-
The Rule of Compounding: Why Time Is an Investor's Best FriendDescribed as both a "miracle" and a "wonder," compound interest is simply a function of time.
-
If You're a U.S. Retiree Living in Portugal, Your Tax Plan Needs a Post-NHR Strategy ASAPWhen your 10-year Non-Habitual Resident tax break ends, you could see your tax rate soar. Take steps to plan for this change well before the NHR window closes.
