Why Tesla Stock Is Soaring After a Q1 Earnings Miss

Tesla came up short of analysts' expectations for its first quarter, yet its stock is roaring higher today. Here's why.

Red Tesla logo with black background
(Image credit: Karol Serewis/SOPA Images/LightRocket via Getty Images)

Tesla (TSLA) stock rallied more than 13% at the start of trading Wednesday even as the electric vehicle (EV) maker disclosed weaker-than-expected earnings and revenue for its first quarter.

In the three months ended March 31, Tesla reported revenue of $21.3 billion and earnings per share (EPS) of 45 cents, representing declines of 8.7% and 47.1%, respectively, from the year-ago period. The company attributed the year-over-year declines to a reduced average selling price of its vehicles and a decline in vehicle deliveries.

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Joey Solitro

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.