Tesla Motors Inc (NASDAQ:TSLA) is scheduled to justify its stock price with concrete numbers during an earnings release this evening. George Galliers, who is an auto analyst at ISI Group talked about three key issues, on CNBC, that will be the focus of the earnings call.
Firstly, the financials of course. These include the demand for Tesla Motors Inc (NASDAQ:TSLA)’s vehicles, and also how profitably the company is able to manufacture its products. Galliers shed some light on the relevant numbers.
“We think the focus for the quarter will be on the global delivery number and also on the Gross Margin. With respect to the global deliveries for the quarter, the company is guiding for around 7,800 units. We are looking for just under 8,000 units, and with respect to the gross margin we are looking for 27% from Tesla Motors Inc (NASDAQ:TSLA) in this quarter […],” said Galliers.
Tesla hasn’t enjoyed a whole lot of praise from especially Wall Street Journal recently. Of course the company is not the most dominant entity in the car industry yet and might not be the most cost efficient hybrid car either. However, it gives its investors a chance to buy into the growth story that they will tell their preceding generations about. Tesla Motors Inc (NASDAQ:TSLA) is the future.
“They [Wall Street Journal] think that the investment case is solely revolving around the X. Of course, X will be the key model for Tesla Motors Inc (NASDAQ:TSLA) when it comes out given the global growth we are seeing in SUV demand. With respect to X we are looking at the delivery date towards the middle of next year, may be Q3 […],” said Galliers.
Lastly, the issue about dealerships is also going to be in focus tonight. Galliers explained that the ability to sell its own merchandise will not only provide Tesla Motors Inc (NASDAQ:TSLA) with additional revenues, but more importantly it would be in direct contact with its customers, and their feedback is crucial for a company which is still in an infancy stage.
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