Tesla's Winning Streak Continues in Q2
Tesla, the renowned electric vehicle titan (NASDAQ: TSLA), reported second-quarter delivery statistics that effortlessly outdid the predictions set by Wall Street, thanks to strategic price reductions. Following this report, Tesla shares witnessed an upwards surge of over 7% during early U.S. trading on Monday.
Beating the Delivery Game: Numbers Unveiled
Tesla proudly delivered a whopping total of 466,000 vehicles in the second quarter, surpassing Wall Street's estimate of 448,350 deliveries. Furthermore, production clocked at nearly 480,000 vehicles for the same period. Model 3/Y and Model S/X showcased impressive figures as well, recording 460,211 and 19,489 in production and 446,915 and 19,225 in deliveries, respectively.
Analysts' Commentary: A Roaring Success
Wedbush analysts provided insight into the impressive performance, remarking that these numbers will "send bears into hibernation mode." They added that early price cuts implemented in 2023 have yielded significant returns for Elon Musk's Tesla. Given the continued demand and production efficiencies, Tesla looks set to reach its goal of 1.8 million unit deliveries for the year. Their optimism continued, expecting a margin story recovery over the following 1-2 quarters, and further growth into the fiscal year 2024.
Maintaining Stock Rating and Price Target
Post these figures, the analysts restated their Outperform rating and $300 price target for Tesla stocks. They opined that with this successful delivery performance, Tesla is progressively justifying the "sum-of-the-parts" narrative, featuring its recently unveiled supercharger network OEM deals, energy business, AI-driven autonomous path, unmatched battery ecosystem, and enhanced production scale/scope globally.
Goldman Sachs' Positive Outlook on Tesla's Report
Goldman Sachs analysts also provided a positive outlook on Tesla's performance, stating that the company issued "a strong report." Despite initial predictions of less increase in June vehicle deliveries due to a transitional phase to a more consistent delivery schedule throughout the quarter, the robust Q2 report suggests Tesla ended the quarter on a stronger note than anticipated.