Tesla Q2 Profits Slide 5%, Musk Dismisses SpaceX Merger Talk
TSLA sits 20% above its 52-week low of $297.82.
Summary
Tesla's Q2 earnings missed badly on the bottom line, with EPS of $0.33 well below estimates despite a revenue beat at $28.2B. Net profit fell 5% YoY to $1.1B, and operating profit more than halved to $398M, as automotive margins stayed under pressure. Capital spending surged 142% to $5.8B, with Musk reaffirming a $25B annual AI investment plan. Shares dropped 5% after hours. On the call, Musk downplayed SpaceX merger speculation, calling it not the right forum, but highlighted plans to integrate Grok and Starlink into vehicles. This follows months of merger rumors and a recent 50% European sales surge, but the profit miss and margin squeeze are the immediate focus. Watch for analyst downgrades and whether the Cybercab ramp or Semi launch can restore confidence.
At the time of this announcement, TSLA was trading at $358.55 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $1.4T. The 52-week trading range was $297.82 to $498.83. This news item was assessed with negative market sentiment and an importance score of 9 out of 10. Source: Wiseek News.