Thursday, April 18, 2024

Ahead Of Next Week's Tesla Earnings Report, A Reminder (TSLA)

The stock is trading down another $3.45 (-2.22%) at $152.00 in pre-market trade.

First up, from Yahoo Finance, April 17:

Tesla's biggest challenges ahead of reporting Q1 earnings

Shares of Tesla (TSLA) are under pressure ahead of the company's first-quarter earnings results expected out next week, as it contends with a slew of mounting challenges.

Tesla is seeking shareholder approval for a $56 billion pay package for CEO Elon Musk, which was initially struck down by a Delaware Chancery Court judge in January. The EV company is now looking to move its incorporation from Delaware to Texas for this controversial compensation plan.

Compounding these issues, analysts at Barclays have taken a bearish stance on Tesla's stock, warning that the company's upcoming earnings results could drive the share price even lower. The investment bank has dropped its price target on Tesla shares to $180, down from the previous $225.

Additionally, Tesla is reportedly planning to lay off around 10% of its global workforce.

For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.

This post was written by Angel Smith

Video Transcript
- Tesla's once again asked shareholders to vote on a $56 billion compensation plan and package for CEO Elon Musk. This is the same package that was voided earlier this year by a Delaware court. They are also calling for a vote to move the company's incorporation from Delaware to Texas. This comes as Barclays this morning warned that next week's Tesla earnings could drive the stock price even lower.

If you're taking a look at shares right now, they're up premarket by about 7/10 of a percent, but let's show a year-to-date chart, if we may, because it's been a slippity-slide here for TSLA shares, and its shareholders certainly wondering, OK, when will things start to turn around. Is it management decision?....


And the reminder, from March 26:
Goldman Hints That Tesla May Have Some Negative FCF Quarters Ahead (TSLA)

Additionally, January 26, 2024:
Tesla Roundup: Dead Money For, At Minimum, A Couple Quarters (TSLA)

TSLA Tesla, Inc. daily Stock Chart