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Tesla Testing Limits; Groupon Poised to Report; First Solar and Zillow Plummet on Earnings

Dan Berman
Hot Stock Minute
Tesla Testing Limits; Groupon Poised to Report; First Solar and Zillow Plummet on Earnings

Tesla (TSLA) reports after today's closing bell. Analysts expect the company to post a loss of 17-cents a share, much improved from a year ago when they were 89-cents a share. Revenue is expected to grow nearly $1,350% to $383-million. According to one calculation, the company delivered 1,400 of its Model S sedans in July. Not bad, but Tesla is facing increased competition, now with BMW rolling out an electric vehicle. Tesla shares have climbed 302-% since the start of the year and hit a new intraday high yesterday. Right now the company has a market cap of more than $17-billion making it a-quarter the size of Ford.

Groupon (GRPN) also reports after the closing bell. The company is expected to post earnings of just 2-cents a share, down from 8-cents this time last year. Revenue is estimated to have grown 7% to about $606-million. One analyst at Sterne Agee said yesterday that investors are underestimating Groupon's growth potential particularly through mobile. But keep in mind, the company has been under the watch of two interim co-CEOs since founder Andrew Mason made his high publicized departure back in March. Shares of Groupon are up 75% year-to-date. However, they're down just about two-thirds since the company went public in November 2011.

First Solar (FSLR) which has been down more than 8% in early trading following the release of a dismal earnings report yesterday afternoon. First Solar made 39-cents a share when estimates were for 56-cents. Revenue was also sorely short, under $520-million when expectations were for close to $730-million. The company also lowered its full year guidance on both earnings and revenues. Until now shares of First Solar had been up 46% in 2013. ((FS)) Even more impressive, they've been up 126% over the past year.

Zillow (Z) is down 8% in the wake of its earnings report. The company posted losses of 30-cents a share, more severe than the expectations which were for minus 11-cents. Though revenue beat expectations by about 5% at $46.9-million. Prior to this morning's drop, Zillow shares were up 220% so far this year.

By the way a programming note: Zillow will be hosting a question and answer session today with President Obama on housing, and Yahoo will be streaming it live. To submit a question to President Obama, or to watch the event live, go to homes.yahoo.com. The streaming session will begin at 1pm eastern time.