TSLA: Will Tesla Stock Pass Its Q1 Crash Test or Fail Investor Safety? Here’s What to Expect.

Shareholders buckle up for the upcoming first-quarter report by Tesla. Piled up inventory and ineffective price cuts have entered the chat.

Key Points:

• Tesla reports earnings Tuesday.
• Q1 struggles may weigh on results.
• Shares are down 40% on the year.
• Tesla stock TSLA may be in for a ride next week when the world’s biggest electric-car maker presents its financial update. On deck for Tuesday, Tesla’s first-quarter earnings figures (dropping after the bell) will show how safe investors are and whether the car company is going to pass its three-month crash test. Here’s what you can expect going into the update.
• Analysts project Tesla to have churned out adjusted net income of $2 billion on revenue of $22.7 billion. Broken down, that’s 55 cents a share, or lower than the 85 cents a pop in the same quarter a year ago. Shares of the struggling EV maker are down roughly 40% this year. The steep drop has erased nearly $60 billion from Elon Musk’s net worth.
• Tesla has been hit by a flurry of bad news over the first few months of 2024. Price cuts have proved ineffective, deliveries marked a sharp drop to 386,810 units and there are tens of thousands of unsold cars sitting as inventory in factories. What’s more, Tesla laid off more than 10% of its staff, or 14,000 workers, in a bid to boost productivity.