Tesla earnings: What to expect

Yahoo Finance’s Pras Subramanian joins the Live show to discuss earnings expectations for Tesla.

Video Transcript

JULIE HYMAN: And, well, I want to do a little fast forward now from right now, where we are obsessing over Netflix numbers to tomorrow morning, when we're going to be obsessing over Tesla numbers. Our Pras Subramanian is here to give us a bit of a preview on those first quarter numbers that Tesla is reporting after the close of trading. So what are we focusing on?

PRAS SUBRAMANIAN: Yeah, that's right, Julie, a big report after the bell tonight. On the top line, we're watching for about $17.92 billion, adjusted EPS of around $2.27, so kind of similar to what we had last quarter. But I'm watching GAAP net income, too. They had three straight quarters over $1 billion, last quarter a record $2.3 billion. So we'll watch that figure as well.

And also, deliveries, we had Q1 deliveries come out about two weeks ago, about 310,000 vehicles delivered in Q1. Are we going to see anything mentioned on Q2 with regards to what's happening in China, and things like that? So I'm going to watch that, that impact on production to shutdowns.

I'm going to watch something about like Giga Texas and Giga Berlin, what's happening there with that ramp up, as they kind of start-- those Model Ys are coming out. And also price changes, the price hikes, we have a number of price hikes over Q1, that whole quarter. What are they going to say about that cost pressures-- components, batteries, stuff like that?

BRIAN SOZZI: Yeah, it is amazing we're not seeing a lot of notes, Pras, talk about, one, if Elon Musk is even on this earnings call.

PRAS SUBRAMANIAN: Right.

BRIAN SOZZI: He has not been on this call-- a couple of these calls in a row. But if he is on there, what does he say about Twitter? And does that overshadow this quarter here from Tesla?

PRAS SUBRAMANIAN: You know, I was thinking about that because he's probably not going to be on the call today. He was on it last quarter, giving a product roadmap, which was kind of like devoid of facts. And then he kind of revealed some things about the Cybertruck and Roadster at the latest Giga Texas opening. I think if they're asked about Twitter, they might say, is it a distraction for Elon? Can he juggle so many balls in the air?

And I think, if you look at his track record, it's like the guy has millions of balls up in the air, right? He's constantly doing SpaceX, Boring Company, different lawsuits, the SEC. And somehow, he gets the job done. I'm not saying-- I'm not a Elon apologist here. But I think that he can do it-- if anyone can do it, he can do it, so far at least.

JULIE HYMAN: Yeah, we'll see. I mean, the stock has done approximately nothing this year. The stock is up--

BRIAN SOZZI: It hasn't done well--

JULIE HYMAN: --a 0.10 of 1%.

BRIAN SOZZI: --since that bid, since that Twitter bid, is interesting.

PRAS SUBRAMANIAN: And I [INAUDIBLE] because, like, Twitter is-- there's no relationship to the company, right? Just Musk. But it's still like an operational thing that people want to keep-- want to ask about it, right? I mean, it's still-- from your guys' point of view, isn't that something you want to hear about?

JULIE HYMAN: Of course.

BRIAN SOZZI: Yeah. I don't care about this Tesla quarter. That's why nobody's doing Twitter.

[LAUGHTER]

JULIE HYMAN: All right. Thanks, Pras. Looking forward to checking back in tomorrow morning, as we'll be talking about that.