Tesla Stock Suffers Worst Week Since 2022, Erasing $130 Billion of Elon Musk's Fortune

Earnings Impact 4
โดย The Motley Fool·US·Read original
Summary · why it matters

Tesla stock suffered its worst week since 2022 following a disastrous second-quarter earnings report, wiping out $130 billion of CEO Elon Musk's net worth. The company reported revenue of $28.23 billion, up 26% from a year ago, and automotive revenue of $20.51 billion, up 23%, but earnings per share of $0.33 badly missed consensus expectations of $0.54. Operating expenses soared 47% to $4.35 billion, nearly wiping out operating margins, while cash and investments dropped $1.2 billion and free cash flow was negative $1.1 billion. CFO Vaibhav Taneja said capital expenditures more than doubled sequentially and will increase to more than $25 billion in the second half of the year, with plans to borrow up to $30 billion for capex over the next two to three years. The stock has since risen 8.7% from its 52-week low, but analysts suggest Tesla may be a stock to avoid for now given the long-term nature of its bets on autonomous driving and robots.

Impact on stocks 5

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Tesla Inc
TSLA
▼ NegativeCapitalrelevance

Q2 earnings miss, soaring expenses, negative free cash flow, and planned debt financing for capex.

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