CNBC Television Tesla investing isn’t the only way to play the EV market: Analyst
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Tesla delivered a record number of vehicles in the fourth-quarter, and it expects to deliver a lot more. Craig Irwin, senior research analyst at ROTH Capital Partners, joins “Squawk Box“ to discuss.
Tesla shares have skyrocketed by about 120% since the electric car maker last delivered an earnings report in October, and investors eagerly anticipate the company’s fourth quarter results, which it is scheduled to report on Wednesday.
Wall street is expecting Tesla to report non-GAAP earnings per share of $ and revenue of $ billion, according to a survey of analysts by Refinitiv. (Estimates varied quite widely: EPS estimates ranged from $ to $, and revenue estimates ranged from $ billion to $ billion.)
Tesla shares took off primarily on the company’s outlook in China. CEO Elon Musk started delivering cars from a new vehicle factory in Shanghai in January, with several ceremonies hyping this achievement on social media platforms from Weibo to Twitter.
The company also reported deliveries of 112,000 vehicles globally during the fourth quarter, a quarterly best for Tesla. That number significantly topped Wall Street estimates, and hit the low-end of Musk’s year-end sales goal.
Other factors included fans’ excitement over Tesla’s Cybertruck design, which was revealed in November, and the company’s continued over-the-air software updates, which Musk promised would bring improvements and new features to customers’ cars, including enhancements to Autopilot and new games including Stardew Valley.
CNBC’s Jim Cramer declared he had become a “true believer,” in Tesla in December 2019. Several Tesla bulls have raised their price targets, while shorts covered.
The rally continued last week as CEO Elon Musk drew accolades from President Donald Trump. He called Musk “one of our great geniuses” in an interview with CNBC’s Joe Kernen, comparing the CEO to Thomas Edison, and adding, “We have to protect all of these people.”
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