Tesla shares surge as second-quarter deliveries beat Wall Street expectations
Tesla shares surged nearly 10% Tuesday after billionaire Elon Musk’s firm reported better-than-expected vehicle delivery numbers in the second quarter.
The company delivered a total of 443,956 cars — a figure that marked a 4.8% decline from the same period one year ago.
However, deliveries were still better than the consensus estimate of 439,000, according to FactSet data.
Tesla’s flagship Model 3 Sedan and Model Y SUV comprised the overwhelmingly bulk of deliveries.
Tesla recently issued a pair of recalls for its Cybertruck. AP
Other models, including the futuristic Cybertruck pickup, came in at just over 21,000 deliveries.
The sales slump slowed down compared to the first quarter, when Tesla deliveries sank 8.5% year-over-year.
Tesla’s unexpected beat on deliveries marked a “huge comeback performance” for the firm ahead of a pivotal August event in which it is expected to detail its plans for self-driving cars, Wedbush analyst Dan Ives said in a note to clients.
“In a nutshell, the worst is in the rear-view mirror for Tesla as we believe the EV demand story is starting to return to the disruptive tech stalwart ahead of a historical Robotaxi Day on Aug. 8,” Ives said.
In mid-morning trading, Tesla was up 8.75%, at $228.14 per share.
Tesla has struggled throughout the year as it faces increased competition from the likes of Chinese firm BYD, as well as lukewarm consumer demand for electric vehicles.
Elon Musk’s Tesla delivered a total of 443,956 cars in Q2. Ella Pellegrini for NY Post
The company has relied on sales promotions and price cuts in its bid to boost sales, which have cut into its margins.
At the same time, Tesla has contended with issues related to the ongoing rollout of its futuristic Cybertruck pickup. The company recently issued a pair of physical recalls to address issues with its windshield wiper and trim.
In January, Tesla warned investors that it expected “notably lower” delivery growth for the year. The company also nixed a goal of shipping 20 million vehicles per year by 2030 in its annual impact report in May.
Tesla beat delivery expectations for the second quarter. AFP via Getty Images
Despite the recent headaches, Tesla still leads rivals in global electric vehicle sales despite briefly losing that title to BYD last year.
Musk’s firm will provide its full second-quarter results on July 23.
With Post wires