Tesla provided investors with Q3 results last night after hours. The results had good news for almost anyone interested in Tesla. For investors, a rare quarterly profit brings smiles. For owners, a coming bump in power. For fans, news that Tesla is advancing its autonomous driving technology and on a timeline.
Tesla Financial Results - Stock
If you are an investor, use Tesla's direct information. If you are a fan, know that Tesla returned a modest profit for the quarter. This has boosted Tesla's stock price from $253 to $301 in early trading. Although this is certainly good news, Tesla's stock was at this same point one year ago. It is about 20% lower than the past year's high, and much lower than the price was in mid-2017 when the stock first reached its historic peak points. Any increase is good, at any point in time. Check back in a few days to see if the price change is sustained.
Tesla Revenue - Demand
Tesla's revenue declined slightly. That is important because many still see the 16-year old company as a "technology startup." It isn't in this writer's view, but either way, a growing company should see growing revenue. More vehicles sold should mean more money coming in. Does this mean that Tesla is in some trouble? Not yet. Tesla is making changes to boost its revenue. For example, the company is now charging new owners for use of the Supercharger network. Is there any bad sign? Sure. The Model 3 is less expensive to purchase and Tesla has chosen to offer discounts on the car to boost sales. A company that has more buyers than cars does not need to discount.
Tesla Isn't Just A Car Company
Tesla's solar business is still weak, despite a quarter-on-quarter growth. The energy storage business continues to grow. Do these businesses boost or drag Tesla overall? Check out what Renewables Now had to say.
Tesla Vehicle News
Tesla says that its cars will get a slight boost in power from some changes it is making. This is coal to Newcastle in our opinion since the cars have an abundance of thrust now. Still, who doesn't like a bit more power? Tesla is also reporting that its autonomous driving systems will see big leaps in capability in the coming year. We'll wait and see.
Overall, this new Q3 result is better than expected news and should bring a smile to the face of any Tesla fan, owner, or investor.
In addition to covering green vehicle topics, John Goreham covers safety, technology, and new vehicle news at Torque News. You can follow John on Twitter at @johngoreham.
Top of page image by the author. Stock chart courtesy of Google and NASDAQ.