Tesla (TSLA) Stock Soars on Earnings, Outlook
Shares of Tesla Motors Inc. (TSLA) were trading up +19.66 or +10.15 percent to $213.30 per share in pre-market trading on Thursday, after the company announced fourth quarter earnings late yesterday. Tesla closed at $193.64 per share, down -10.06 or -4.94 percent in Wednesdayâ s regular trading session. Adding to the better than expected earnings results, CEO Elon Musk announced on a conference call Wednesday that Tesla was building a new final assembly line allowing the automaker to increase production from the current 600 cars per week to 1,000.
Palo Alto, California based Tesla Motors Inc. produces two fully electric powered automobiles at the companyâ s single plant in Freemont, California. The Tesla Roadster and the Tesla Model S, the first fully electric sports car and luxury sedan ever produced. Tesla Motors also markets electrical components to other automakers such as Daimler and Toyota. These include electric powertrain components and lithium-ion battery packs used in electric and hybrid models. For the fourth quarter, Tesla earned $46 million, or $0.33 per share, significantly higher than the analyst consensus of $0.23 per share. Revenue came to $615.2 million, versus a previous $306.3 million, analysts expected $683.9 million. The company reported it had sold a total of 6,892 Model S sedans in the quarter, considerable more than the 5,500 units sold during the companyâ s third quarter. On a non-adjusted basis, Tesla reported a loss of -$16.3 million, or -$0.13 per share, versus a loss of -$89.9 million, or $0.79 per share in the same period one year ago. Tesla claims that the figures distort the companyâ s true performance due to accounting rules covering the recording of revenue for leases. In a letter to shareholders, CEO Elon Musk wrote that the company will begin sales in China this spring; he noted that, â
Published on Feb 20, 2014
By Jay Hawk