Please select the second broker

Author: Alan LittleDate: 2021-10-22

Tesla (TSLA) +3% after posting record Q3 profits and revenue

Tesla (TSLA) was on track for share gains on Thursday after it delivered record Q3 profits and widening margins despite ongoing supply chain issues.

Tesla (TSLA) shares rose 3% on Thursday after the electric vehicle and clean energy company brushed off ongoing supply chain problems to post record Q3 profits and revenue.

In its latest update, published after Wednesday’s close, Tesla had no trouble topping the Wall Street consensus with $1.86 adjusted earnings per share and $13.76bn revenue versus the $1.59 and $13.63bn estimates.

GAAP net income rose to $1.62bn during the quarter, only the second time it has soared above $1bn and way up on the $331m figure recorded a year ago.

Profit margins also rose to 30.5%, but CFO Zach Kirkhorn did warn that its new gigafactories in Texas and Berlin could pressure the firm’s margins in the near term.

Kirkhorn said that Tesla is hoping to build its first production cars at the plants in 2021 but that ramping up volume and scale thereafter could take time.

Investors will be pleased to see that semiconductor shortages have not knocked Tesla’s capacity to produce vehicles, despite the California-based company’s recent claims that they were making it difficult to run the factories at “full speed”.

Deliveries of Tesla’s popular electric vehicles continue to grow, with 237,823 coming off the line and several thousand more being shipped during the three months to 30th September.

The strong growth, which is set to continue at a pace of 50% on average annually during the next few years, is impressive considering that rival automakers have struggled to increase sales.

While the vast majority of Tesla’s top line is attributed to automotive sales, its energy generation and storage segment also thrived during the quarter with revenue of $806m.

Oppenheimer analyst Colin Rusch was bullish on Thursday after talking up Tesla’s “software-defined vehicle architecture” and the likelihood that it will “continue outperforming peers”.

There were also share gains for TSLA, with the 3.03% advance by late morning setting an $892 price.

Scam Brokers, Broker Complaints

Are you aware of a scam broker or want to make a broker complaint?

We want our site users to find good brokers to trade through and to be warned off bad brokers. We encourage you to use our complaints tool to let us know about your experiences.

We have categorised the common complaints to make it easier for you and we have provided some guidance on what you may want to try before submitting a complaint, if our suggestions do not provide you with a resolution then by submitting a complaint, our team will attempt to take up your case with the relevant Broker and if needed, submit a formal report to the regulators.

We use the information you give us to decide if we want to continue to promote a broker on our site.

Your scam broker complaint not only helps you, it helps others and it helps us determine if we continue to support the broker.