FX.co ★ Tesla shares tumble on weak Q2 earnings

Tesla is back in the public eye. This time, the company surprised everyone with its disappointing earnings. The American automaker reported a second-quarter net profit of $1.48 billion, half of what it made a year ago and the lowest level in the past five years. Against this background, Tesla shares plunged nearly 8% in pre-market hours on the NASDAQ stock exchange.

Such a steep decline in earnings is attributed to reduced car prices aimed at boosting demand and increased spending on artificial intelligence projects. The good news is that Tesla’s revenue reached $25.5 billion, slightly above analysts' forecasts and last year’s numbers.

Adjusted earnings per share came in at $0.52, 17% below the consensus estimate. This means that Tesla has missed earnings targets for four consecutive quarters.

According to Bloomberg, investors are now in a wait-and-see mode, believing in the company's bright future and ambitious plans. Tesla promises to produce revolutionary self-driving taxis and humanoid robots, but of course, in some bright future. For now, the automaker is gearing up for its 2023 results.

Earlier, Tesla shares fell following reports that the anticipated unveiling of Elon Musk's robotaxi service would be postponed. In April, the billionaire announced a strategic shift towards autonomous driving, promising to present a prototype in China on August 8, 2024. In July, it was revealed that Tesla had delayed the product demonstration to October because the vehicle was not yet ready.