Tesla (NASDAQ:TSLA) reported adjusted EPS of $0.73, which came in below street estimates of $0.77. Tesla has now missed earnings estimates in 5 of the last 8 quarters.
Earnings came in 5.2% below street expectations, which was worse than the 8-quarter average of 1%.
While the growth rate remained slightly positive for the second straight quarter, after 4 straight quarters of serious margin compression.
Sales also missed expectations by a wide margin. The street was expecting about $27.259 billion while the company reported $25.707 billion. Tesla has only beaten sales expectations in 2 of the last 8 quarters.
Sales came in 5.7% below street expectations, which was the worst results in the last 8 quarters.
While the sales growth rate has slowed to a crawl.
Pretty lousy quarter but there is a lot of potential. And Musk’s position in the new administration has to help matters as well. That being said, the forward PE on the stock is currently 123x on 34% expected EPS growth and 17% expected sales growth. For a PEG ratio of almost 4. Like MSFT, not very exciting from a fundamental or quantifiable basis.
The key pivot points here will be the prior record highs in 2021 at $414.50 above, and the 50-day moving average below (currently $396). When a stock pushes up above a key swing high and then falls below, it can sometimes trigger a bigger-than-average pullback. Bulls will want to defend the 50-day moving average and get price back above $415 sooner rather than later. Bear will want to defend the 2021 highs and try to break below the 50-day.