Last week we got delivery numbers out of Tesla, Rivian, and Lucid. One of those carmakers, Lucid, delivered an additional thousand vehicles and saw its shares rise slightly. Another one, Rivian, saw deliveries drop by 3,000, and its shares dipped. Detecting a pattern? Well, of course, Tesla saw deliveries down by 60,000 year over year, but nevertheless the stock popped upward on the news. Markets!
Tesla, as usual, is the gravity-defying enterprise here, and there are a few reasons why.
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Wedbush Securities analyst and Tesla bull Dan Ives flagged that though the 384,000 deliveries fell short of consensus estimates, they were better than the “whisper number” of 365,000 — the unofficial, unpublished number that Wall Street really expected.
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The miss versus consensus was overall pretty narrow, coming in about 1% under, a narrower miss than last quarter.
While the stock has ridden high the past few months on optimism over the company’s now launched robotaxi program, Tesla has also faced numerous headwinds, including weak demand, fierce competition, and a couple of public feuds with President Donald Trump.
Through the stock’s ups and downs, retail investors have remained exceedingly loyal to Tesla. The EV company has a higher portion of small individual investors than the other Magnificent 7 stocks, with 38% of its shares owned not by insiders or large institutions.
The Takeaway
Tesla bulls are buying what CEO Elon Musk is selling. “The future of the company is fundamentally based on large-scale autonomous cars and large scale and large volume, vast numbers of autonomous humanoid robots,” Musk said on the latest earnings call, reiterating a point he’s made again and again. In other words: don’t miss the forest (autonomy) for the trees (struggling vehicle sales).
Figma’s financials revealed. Now that the design software company has filed for an IPO, investors are finally getting a look to see what made Adobe offer $20 billion to try and snap it up. So, is this the classic cash-incinerating disruptive startup? Nope — it’s actually a profit machine. We charted how the firm makes money and what it’s spending it on, as well as the remarkable rise of its high-paying customer base.