Back in May Elon Musk announced that the company will not sell any of its Bitcoin and will no longer accept the cryptocurrency as a payment. The reason cited was a need for a more environmentally friendly alternative for mining the coins. However, ever since then, the price of Bitcoin plunged roughly 40% in Q2. Tesla’s Q1 was heavily based on its earnings from the sale of Bitcoin so it would be interesting to see how the Q2 fares without the bitcoin profits. Credit Suisse analyst Dan Levy (Hold) is homing in on three additional key themes in the final print.
“We assume volume strength, price increases and favorable mix should more than offset higher raw material costs and production inefficiencies,” he says. Levy expects gross margin, excluding regulatory credits, will arrive at 25% – up 300 basis points (a basis point is one-one hundredth of a percentage point) from Q1 – while earnings per share (EPS) will land at $1.34.
Overall, the consensus estimate for Tesla’s second-quarter report is for earnings of 96 cents per share, up 118% year-over-year (YoY), with revenues expected to rise 85.8% from the year prior to $11.2 billion.
In the last trading session, Tesla, Inc. (TSLA) opened at $646.36 and traded between the range of 637.30 – 648.80. The stock currently has a 52-week range of 273.00 – 900.40. More than 25,581,171 shares exchanged hands compared to an average volume of 25.78M and a market cap of over $619.79B. Let’s take a look sneak peek into the company’s major shareholders. 19.49% of Shares Held by All Insider, 42.71% of Shares Held by Institutions, 53.05% of Float Held by Institutions, 2,675 Number of Institutions Holding Shares. Major shareholders include Vanguard Group, Inc. (The) – 58,596,739, Blackrock Inc. – 50,242,363, Capital World Investors – 40,925,678, State Street Corporation – 29,430,587, Baillie Gifford and Company – 16,216,060..
Let’s dive into the technicals of the chart for Tesla, Inc. (TSLA). Tesla, IncTesla, Inc has a 50 day moving average of 644.68 and a 200 day moving average of 695.92. The 200 MA is on the rise and has already crossed the 50 day MA suggesting a bullish builtup.