The auto making giant has reported a strong quarter for the third time in the year but expects to do even better next time
Tesla Motors announced earnings for the third quarter of the fiscal year along with a very positive look towards the upcoming next three month financial period which has not only elevated investor sentiments but it has also helped the share price to go up on the index by around 10%. The giant has only recently reported its sales figures which turned out to be in a much better position than the expectations which actually raised the sentiments that the investors had towards the stock.
In the third quarter, Tesla stock reportedly attained an adjusted EPS and non-GAAP revenue much lower than the actual expectations which were made by the equity analysts in the market. The estimated EPS was to be around a loss of $0.48 whereas the reported figure turned out to be -$0.58. As for the revenue generated for the quarter, the expected figure was to be reported around $1.26 billion according to the expectations, whereas the actual adjusted figure turned out to be at $1.24 billion which showed an apparent decrease in the cash flow.
The progress that is currently being observed by the auto making company cannot be denied as in the same quarter last year, the total revenue which was recorded by Tesla was $932 million while the EPS stood at a price of $0.02.
On the other hand, the major reason for the 10% increase in the share value of the company is that the management of auto manufacturers has informed the investors and shareholders that it is expecting a much stronger quarter in the next season and that it is looking forward to some major improvements in business as well, which has put a great impression on the investors and has given its rivals in the industry something to think about.
Currently, Tesla is looking towards a delivery of 17,000 to 19,000 electric cars in the fourth quarter of the year and as per the actual guidance report, it shows that the auto maker could actually end up hitting a growth figure of 47% to 64%, which the analysts think could be pulled off by the giant.