Tesla Motors Inc (TSLA): Why Earnings Matter Less Than You Think

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In fact, in the most recent quarter, Tesla Motors Inc (NASDAQ:TSLA) generated revenue of almost $4 million from selling full electric powertrains to Toyota Motor Corporation (ADR) (NYSE:TM) for its Rav4 EV, as well as various deliverables sold to Daimler for its Mercedes Benz B-Class EV. Tesla is a disruptive force in the auto industry, which helps explain why it trades more as a tech stock than an auto name.

The takeaway
Tesla Motors Inc (NASDAQ:TSLA)’s quarterly earnings help investors track the company’s progress. However, the specific figures, whether reported on a GAAP or non-GAAP basis, isn’t what’s driving the stock today. Rather, Tesla investors are focused on the future promise this company holds as it continues to demonstrate flawless execution. That’s why I plan to hold my stake in the EV maker for many more years to come, despite what results might lie ahead in future quarters.

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The article Why Tesla’s Quarterly Earnings Matter Less Than You Think originally appeared on Fool.com.

Fool contributor Tamara Rutter owns shares of Tesla Motors. The Motley Fool recommends Ford and Tesla Motors. The Motley Fool owns shares of Ford and Tesla Motors.

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