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Tesla reports earnings this week, and it's 'all about margins'

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Many investors wonder ‘if Tesla can grow earnings at all’

Tesla Inc. is slated to report third-quarter earnings on Wednesday amid renewed concerns about the EV maker’s margins and demand after a fresh round of price cuts.

There was also “very little enthusiasm” about Tesla’s next model, the Cybertruck, among the investors, Jonas said. The price cuts, the latest of which were announced earlier this month, rehashed investors’ worry about the company’s margins. Gross margins are likely to drop again in the third quarter, but are likely to recover in the fourth quarter, Munster said.

 

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