Tesla’s Fourth Straight Earnings Miss: Stock Performance and Analysis

Tesla, the electric vehicle maker, has recorded its fourth straight earnings miss, marking a significant milestone for the company. The earnings for the second quarter came in 17% below consensus, the largest miss since January 2021. Additionally, gross margins for Tesla fell to 14.6%, down by half from the first quarter of 2022.

In response to the disappointing earnings, Tesla shares declined by 4.7% in after-hours trading. The company reported adjusted earnings per share at 52 cents, missing analysts’ estimates of 62 cents per share. However, Tesla’s quarterly revenue of $25.5 billion slightly exceeded the estimated $24.77 billion.

This news comes amidst a broader trend of companies reporting earnings after hours. Alphabet, the tech giant, slipped 1% despite beating both top and bottom line expectations in the second quarter. On the other hand, Seagate saw its shares rally more than 6% after posting an earnings and revenue beat in the fiscal fourth quarter.

Overall, U.S. stock futures fell across the board Tuesday night, with S&P 500 futures dropping 0.3%, Nasdaq 100 futures falling 0.4%, and Dow Jones Industrial Average futures declining 0.2%. Investors will be closely monitoring these developments as the market reacts to the latest earnings reports.