Tesla stock edged higher Wednesday as investors looked ahead to the company’s second-quarter earnings report. CEO Elon Musk took to social media this week to tease product updates, robotaxi deployment, and his full return to Tesla operations — even as profit expectations fall sharply.
TSLA shares rebound before earnings
Tesla (TSLA) stock closed Tuesday at $332.11, up 1.1%. The stock is now up over 39% since the company’s Q1 earnings call on April 22 but remains down 17% year-to-date and 32% below its all-time high of $488.54.
On Monday, shares briefly reached $338 before sliding back. Tesla has found short-term support above its 50-day moving average and may be forming a new base with a traditional buy point of $367.71, according to MarketSurge analysis.
Musk: “100% focused” on Tesla
Over the weekend, Musk told his followers on X that he’s “back to working 7 days a week and sleeping in the office” ahead of the earnings release. In multiple posts, he expressed renewed commitment to Tesla, SpaceX, and his AI startup xAI.
He also emphasized the next phase of Tesla’s Full Self-Driving (FSD) software, noting improvements tied to the Austin-based robotaxi program, which could be deployed in California’s Bay Area pending regulatory approval.
“Your Tesla self-driving capability will see a step change improvement as we integrate upgrades for the Austin robotaxi build,” Musk said Sunday.
Tesla earnings: What to expect
Tesla will report Q2 results after the market closes today. Analysts expect a continued decline in financials:
- EPS: 39 cents (down 25% year-over-year)
- Revenue: $22.19 billion (down 13%)
- Net income: Estimated decline of $350 million
Tesla’s global vehicle sales dropped 13.5% in Q2, marking the second straight quarterly decline. Without revenue from regulatory credit sales, which are now evaporating under Trump’s new tax law, the company’s profits would be slimmer.
EV tax credits and tariffs pose headwinds
Tesla also faces macroeconomic pressure:
- A $7,500 U.S. EV tax credit expires in October under the Big Beautiful Bill Act, which also eliminates ZEV credits and CAFE penalties — key revenue drivers for Tesla.
- New Trump tariffs on Chinese graphite used in EV batteries have raised material costs by 160% over last year.
- Despite building all U.S. vehicles domestically, Tesla is still exposed to parts-related tariffs.
New diner opens, more on the way?
In lighter news, Musk celebrated the official opening of Tesla’s retro-futuristic diner and Supercharger in Los Angeles, calling it an “island of good food, good vibes & entertainment.”
“If our diner turns out well, Tesla will establish these in major cities worldwide,” he said Monday.
Robotaxi, AI, and the future of TSLA
While analysts expect weak earnings this quarter, much of the market’s attention will turn to Tesla’s long-term vision:
- Robotaxi rollout timelines
- Development of a $30,000 EV
- Updates on Musk’s AI efforts via xAI
- Any changes to production guidance for the rest of 2025
Tesla bulls are betting that Musk will shift focus away from politics — including his recent public split with Trump and plans to launch a third political party — and double down on Tesla innovation.
This content is brought to you by the FingerLakes1.com Team. Support our mission by visiting www.patreon.com/fl1 or learn how you send us your local content here.