Tesla reports first quarter financial results after Tuesday’s Bell. Electric vehicle makers are dealing with sales and fallout slump from the CEO’s prominent role in the Trump administration.
Wall Street expects Tesla to report earnings of 41 cents per share. Revenue is estimated at $21.3 billion, comparable to last year’s quarter.
Tesla is fighting a huge public backlash due to the leadership of Elon Musk, a federal government’s cost-cutting group that sparked angry protests at Tesla dealers across the country. Some analysts have called for Musk to focus on Tesla and abandon his role in the Trump administration.
Tesla Inc. stocks fell over 40% this year.
Tesla investors are intimately listening to the latest updates on several strategic initiatives. The company is expected to roll out its Model Y SUV, a cheaper version of its bestselling car, later this year. Tesla also said it plans to launch a paid, unmanned Robotaxis service in Austin, Texas in June.
The company that once dominated EVs is also facing intense competition for the first time.
Earlier this year, Chinese EV maker BYD announced that it had developed a battery battery charging system that can fully power the vehicle within minutes. And Tesla’s European rivals began offering new models with advanced technology that make them a real alternative, just as popular European opinions opposed Musk.
Investors expect that Trump administration tariffs will hurt Tesla more than most U.S. auto companies, as they have the majority of U.S. auto companies domestically. But Tesla is not completely intact. We are currently procuring materials from overseas, which are facing import taxes.
Retaliation from China will also hurt Tesla. The company was forced earlier this month to halt orders from mainland customers for two models, the Model S and Model X. This will bring the Model Y and Model 3 in the Chinese market at the factory in Shanghai.
Original issue: April 22, 2025 10:34am EDT
