(Photo Credit: Don McCullough)
Tuesday, November 3
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Thursday, November 5
Tesla (TSLA)
Consumer Discretionary – Automobiles | Reports November 3, after the close.
The Estimize consensus calls for EPS of -$0.49, the fourth straight quarter without profitability, but still 4 cents higher than the Wall Street consensus. Revenues are anticipated to come in at $1.233B vs. Wall Street’s $1.214, what would be a 33% increase YoY.
What to watch: Tesla stock took a big hit last quarter after they lowered the number of vehicles it plans to deliver in 2015 to 50,000-55,000 from 55,000. Updates are expected for three models: the Model S, Model X and Model 3. The Model S, which recently became the best selling electric car in the U.S., debuted its latest version, the Model S 70, for $30k less than the original. The Model X, Tesla’s first full size SUV, was released a little over a month ago. The company has poured a lot of money into its production and investors will want to see that sales of the Model X are offsetting those costs. Lastly, the Model 3 will be Tesla’s most cost effective model yet starting at $35k. The company said they will start taking orders in March, we’ll be looking to see if they can stick to that timeline. Beyond its vehicles, Tesla will need to provide an update on its battery segment. The company has been hard at work assembling its gigafactory outside of Reno, Nevada which should produce cheaper batteries, set to be fully operational in 2016. The state of Powerpack and Powerwall, the company’s stationary batteries, is also expected to be addressed. Lastly, China will remain a large focus for the automaker. Weak sales have prompted talks about moving a manufacturing facility to the region, as China is a key market for luxury cars. Tesla’s stock has been all over the place this year, currently down 7% YTD. Any good news out of tomorrow’s report could have a big positive impact for the stock.
