TSLA Stock News: 6 Most Important Headlines Tesla Investors Need to Know This Week
Today, You’re here (NASDAQ:TSLA) the stock is back down after an exciting few days. This week, the electric vehicle (EV) innovator announced earnings for the first quarter of 2022. Although some investors were skeptical, the company posted strong growth in earnings and revenue, beating forecasts for analysts on the top and bottom results. CEO Elon Musk also took time off his aggressiveness Twitter (NYSE:TWTR) acquisition campaign to participate in the results call. Musk updated shareholders on the quarter and Tesla’s plans for the road ahead.
Those first-quarter numbers pushed TSLA’s stock higher. And, although he fell again, Musk gave investors something to be optimistic about on the call. For example, the CEO pointed out that the company’s Shanghai factory would not only reopen soon, it would “come back with a vengeance.”
Investors can take comfort in these positive production projections for the coming year. Still, the rest of the investing world is probably more focused on Musk’s plans for Twitter. The social media giant still hasn’t released any updates on the potential deal.
So, as this week draws to a close, let’s take a look at the top headlines for TSLA stock investors to follow.
Top Headlines for TSLA Equity Investors
Elon Musk is worth $270 billion. He would buy Twitter with an IOU.
In a week when Tesla announced its earnings, Elon Musk’s quest to acquire Twitter continued to dominate media coverage. If his offer is successful, however, it could change the face of social networks. It would also effectively change Musk’s entire business empire, likely increasing TSLA’s stock in the process. The CEO had no trouble negotiating this historic acquisition. There has also been speculation that he could not acquire Twitter without selling some of his TSLA stock. For now, much depends on how Musk plans to fund the deal.
Will Tesla be the next Netflix? It could be another Google.
It’s been a good week for TSLA, but a lot tougher for other companies. When netflix (NASDAQ:NFLX) reported disastrous earnings this week, speculation quickly grew that Tesla could suffer the same fate if growth slows. While there’s no guarantee such a scenario will happen, famed investor Michael Burry believes it can happen. Burry tweeted that growing competition will push Tesla in that direction. However, industry expert Al Root thinks something else could be going on; Tesla’s expanding holdings can mimic the far more profitable path of Alphabet (NASDAQ:GOOGLNASDAQ:GOOG).
Tesla’s market share continues to grow and grow
Another important growth area Tesla provided updates on this week is its international market share. As with earnings and revenue, the news was good. According to the data provided, market share growth in the United States and Canada reached 3% for Tesla. In Europe and China, it is approaching 2%. Considering the inconvenience Tesla has had due to the Shanghai factory closure, that’s no small feat. Like Inside electric vehicles reports, “the company is steadily increasing its market share, despite the volatile global situation in terms of supply chains.” Investors can feel good about these numbers. Tesla’s international expansion efforts seem to be working.
Tesla’s record profit blows estimates
This next headline does a great job summarizing Tesla’s recent first quarter earnings report. In the face of supply chain constraints and negative market forces, the company continued its roadmap by posting record profits. Tesla’s earned adjusted revenue was $3.7 billion, sufficiently higher than the $2.6 billion forecast. Having already posted record sales, the recent report shows that Tesla can continue to meet growing demand. Plus, with its new factories in Austin, Texas and Berlin already rolling out cars, it’s better positioned than ever to take off. The next earnings report could boast of even better numbers than Q1.
Tesla Insurance adds 3 more states and plans to go nationwide this year
With so much focus on Tesla’s earnings and Musk’s Twitter deal, it’s easy to overlook the less exciting stories. However, investors should also know that Tesla is continuing its mission to insure its vehicles. While the InsureMyTesla initiative was initially launched for drivers in Hong Kong and Australia, it is now expanding to the United States. Tesla’s website notes that the insurance is not based “on information that has little to do with driving,” but rather on a safety score calculated by the company. This score is based on things like “aggressive turns” and “hard stops.” Insurance is now available for drivers in Colorado, Oregon and Virginia.
Cathie Wood sells $66 million worth of Tesla stock on earnings day
This week, just after doubling down on TSLA shares, famed investor Cathie Wood sold some stocks. Like InvestorPlacereports Eddie Pan, Wood sold for $66 million, totaling $67,884. Pan also notes, however, that Wood believes “Tesla’s potential robotaxi business will be very profitable and contribute over 50% of the value of Tesla by 2026”. This sell decision should not worry investors either. TSLA stock didn’t dip too much today – and should be back in the green on Monday. Despite the sale, Wood still sees growth potential for Tesla. Other investors should not ignore it.
At the date of publication, Samuel O’Brient held (neither directly nor indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com Publication guidelines.