The stakes are high for Tesla when the electric vehicle giant reports results after the bell Wednesday. Analysts polled by LSEG expect the company to report earnings of 58 cents per share on $25.37 billion in revenue.
The company posted adjusted earnings per share of 52 cents and revenue of $25.50 billion last quarter . The current numbers suggest a 12% decline in earnings from the year-ago period .
The earnings release come on the heels of a rocky patch for the stock. It is down 13% in 2024 and has lost 17% this month. Earlier this month, the EV giant posted disappointing third-quarter delivery numbers .
The delivery miss comes as the company grapples with an increasingly competitive EV market, as legacy automakers join the tide and competitors such as Rivian mature their business. Abroad, the company is facing elevated pressures in China from competitors such as Li Auto and newer entrants including Geely . Stakes are even higher for the company following an underwhelming robotaxi event earlier this month that failed to impress Wall Street analysts and investors hopeful for a turnaround.
"See substantial risk of multiple compression after big TSLA rally into underwhelming robotaxi day came despite deteriorating fundamentals, suggesting unmet investor expectations," wrote JPMorgan analyst Ryan Brinkman following the event. Heading into the print, Wall Street analysts view Tesla's automotive gross margins as a key figure that may heavily affect the EV giant's postearnings move.