Tesla Inc. is expected to release sales from April to June next week, and Wall Street hopes to assess how the shutdown of the only US automaker in Silicon Valley has affected sales targets for 2020..
Tesla TSLA, -2.66%
reports quarterly deliveries, which are your sales representative, and production numbers in the days following the end of a quarter, which means it will likely be released on Thursday. Tesla’s Fremont, California plant closed for approximately half of the quarter following regional shutdown orders to stem the spread of the coronavirus.
Analysts polled by the FactSet consensus expect deliveries of 67,000 vehicles, of which 59,600 would be Model 3 consumer sedans, with the remainder roughly split between sales of the Model S luxury sedan and SUV Model X.
Related Downloads:
Investors are hoping that the Tesla plant in Shanghai, which went online earlier this year, has recovered some of the delay. Tesla’s stocks in the first quarter could also help sales from April to June.
Wall Street would also appreciate sales figures from the Model Y, the compact SUV that is Tesla’s newest vehicle on the line.
Tesla hasn’t exactly given up on its goal of selling more than 500,000 vehicles this year, but it has changed its tide somewhat, telling investors in late April that it has “the installed capacity” to deliver more than a half -million vehicles in 2020 “despite the announced production interruptions”.
The electric automaker announced in early April that it had delivered 88,400 vehicles in the first quarter, a performance the company described as “better” in the first quarter and far below Wall Street expectations.
Evercore ISI analysts have set their second quarter sales forecasts between 80,000 and 84,000 units, with sales in China offsetting an expected drop in sales in North America and a “sharp drop” in sales in Europe.
Tesla had between 14,000 and 20,000 vehicles in stock in the first quarter, according to Evercore ISI analysts.
Deutsche Bank analysts expect deliveries of 76,000 units, of which 60,000 would be Model 3 sedans.
“We estimate that Tesla was able to produce 34,000 Model 3 units in Shanghai (factory) and about 21,000 in Fremont,” they said. “But we don’t think Tesla was able to reach the full production levels of the Model Y.”
They estimated production of the Model Y between 10,000 and 13,000 units in the second quarter, or about 300 per day.
Tesla reopened the Fremont factory in the midst of a clash with local health authorities, including the CEO, Elon Musk, calling the closure “fascist” and suing the county where the factory is located. The trial was eventually withdrawn.
Tesla stocks have gained 131% this year and recently raised $ 1,000. The gains contrast with losses of 6% and 12% for the S&P 500 index.