Tesla stock dips after notching 9th straight day of gains

Shares of Tesla (TSLA) are taking a breather after hitting the 9th straight day of gains in Monday’s trading session. Shares have risen more than 75% since its most recent low, and the company has erased its year-to-date losses. Yahoo Finance Senior Reporter Pras Subramanian discusses the stock’s movements as earnings loom ahead.

Read more about Tesla’s rally here:
Tesla looks to extend win streak to 9th day
Tesla stock rally continues as robotaxi reveal date nears
Tesla stock rises again, extending monster 40% rally over the last month

For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.

This post was written by Melanie Riehl

Video Transcript

Well, switching gears here.

Another story that we’re watching for you this morning, shares of TSL A, they’re on the move right now as the EV maker of taking a breather after notching its ninth straight day of gains on Monday, the stocks winning streak has erased its year to date.

Losses.

Shares have risen more than 75% since hitting its most recent low.

That was in late April here to weigh in is Yahoo Finance’s senior Autos reporter Pros Superman and hey, pros, hey, so yeah, Brad.

So basically, you know, we’ve been seeing the stock kind of rise Meteorically since Elon Musk’s pay package got approved in in June and sort of just been like on a, on a roll since then.

Uh we talk about they had a pretty good uh delivery number coming out over the right, right after the holiday right before the holiday weekend.

Uh better than expected, still down year to year but still better than expected.

Uh There’s some buzz about energy storage business doing well.

Uh There’s talk about China doing better.

They were able to sort of get a contract sign where they can actually sell Teslas to state vehicles as state vehicles to use for the government.

So that’s kind of a big deal for them.

But, you know, it’s one of these things where we always see the stock kind of have a boom bust cycle.

Right.

And right now we’re gonna, we’re two weeks from today into earnings and that’s going to be a big, kind of, sort of moment for the company.

And usually earnings has, haven’t been good, they haven’t been good for this for the stock, but they were good last quarter because of the fact that they mentioned that they’re gonna introduce some cheaper vehicles in the future.

So that’s sort of the the bigger game plan here.

A lot of the road with taxis, things like that.

II I guess my question to you is how much do you think investors are focusing?

It seems like investors still tend to focus on those more lofty goals and, and what must lays out versus what is happening today because when it comes to the fact that profit margins remain under pressure, demand simply is not what it was initially expected to be at this point.

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How much of that do you think is going to be reflected in this report that we’re going to get in a couple of weeks?

Well, interestingly, second quarter sales or deliveries were not that bad.

So it kind of it kind of hints that maybe there was actually some demand recovery there.

I mean, there are a lot of price cuts in the US too and and potentially China not as bad as people thought.

So maybe there’s gonna be some upside surprise there and we get more color on is demand returning ever so slightly.

Uh We’re seeing other brands doing, doing a little bit better to Ford in particular.

Uh although some of me, a Porsche Mercedes also on that luxury kind of high end there.

Um but the big question is, you’re right, how much growth are we going to see in the future?

I mean, can you hit that, that sort of 1.41 point and a half, sort of um a average growth rate, right for the year?

That’s kind of under threat.

And the question is, are the big bets gonna overtake that we gotta go?

But is there a lever that they could pull this quarter?

You talked about what they said last quarter and talking about the future of vehicles that they’re gonna be unveiling or uncloaking?

I mean, is there another type of lever that we could see them try to tap into here that would have this same effect and at least buoy some investor confidence for this interim period?

You know, I I think, I think one of the things you wanna hear with regards to the Robo taxi reveal in August, are they gonna be doing actual trials like cruise and waymo are doing?

Are you gonna have like fenced in geo fenced in trials of the car actually kind of being worked, like, actually used in service, for instance, are we gonna have a, a model Y with, with, with, with its current system kind of running around?

So we’re picking people up.

I think that’s sort of the question.

It might get a hint on that.

That could be a big, like I said, lever to pull like, oh actually we’re doing these trials now.

Um But in part, but in terms of new products, uh we’re not gonna see that for a while and maybe we’ll get some updates here and there, but it’s not, not from a, from a new product point of view.

I don’t see anything happening.

At least not for the next year or so.

Interesting.

All right, pross, thanks so much tracking all things TSL A plus the mobility space at a whole.

Appreciate it.