Tesla (NASDAQ:TSLA) Issues Quarterly Earnings Results, Beats Estimates By $0.05 EPS

Tesla (NASDAQ:TSLA) posted its quarterly earnings data on Wednesday. The electric vehicle producer reported $0.50 EPS for the quarter, beating the consensus estimate of $0.45 by $0.05, FiscalAI reports. Tesla had a return on equity of 6.61% and a net margin of 5.51%.The firm had revenue of $24.90 billion during the quarter, compared to the consensus estimate of $24.75 billion. During the same period in the prior year, the business earned $0.73 EPS. The firm’s revenue was down 3.1% compared to the same quarter last year.

Here are the key takeaways from Tesla’s conference call:

• Tesla reported rapid progress on autonomy and Robotaxi rollout — unsupervised FSD rides are live in Austin, the fleet exceeds ~500 paid-ride vehicles, and management expects fully autonomous service in dozens of U.S. cities by year-end (regulatory approval permitting), supporting a large new recurring-revenue opportunity.
• The company is shifting FSD to a subscription-only model after reaching nearly 1.1 million paid customers, which Tesla says will reduce upfront FSD revenue and will negatively impact automotive margins in the near term.
• Tesla plans to more than double CapEx to >$20 billion in 2026 to fund six new factories (Optimus, Cybercab, Semi, refinery, LFP, Mega factory), AI compute, and factory expansions — a deliberate growth push that will materially increase near-term cash outlays and pressure free cash flow.
• Energy continued strong momentum with record gross profit and $12.8 billion revenue (26.6% YoY); Tesla plans major scale-ups (Megapack 3, Megablock and a 100 GW/year solar cell ambition), indicating a potentially underestimated long-term growth vector.
• Tesla will end Model S and X production next quarter and convert the Fremont SX lines into an Optimus factory targeting 1 million units/year, but executives cautioned Optimus will follow a stretched S-curve ramp and not be material immediately, making this a high-opportunity yet execution-risk strategic pivot.

Tesla Stock Performance

NASDAQ TSLA opened at $431.46 on Thursday. The business has a 50 day moving average price of $446.48 and a 200 day moving average price of $406.64. The company has a market capitalization of $1.43 trillion, a P/E ratio of 287.64, a PEG ratio of 7.32 and a beta of 1.83. Tesla has a 1-year low of $214.25 and a 1-year high of $498.83. The company has a debt-to-equity ratio of 0.07, a current ratio of 2.07 and a quick ratio of 1.67.

Insider Buying and Selling at Tesla

In related news, Director James R. Murdoch sold 60,000 shares of the business’s stock in a transaction dated Friday, January 2nd. The shares were sold at an average price of $445.40, for a total value of $26,724,000.00. Following the sale, the director directly owned 577,031 shares in the company, valued at $257,009,607.40. The trade was a 9.42% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Kimbal Musk sold 56,820 shares of Tesla stock in a transaction dated Tuesday, December 9th. The stock was sold at an average price of $450.66, for a total transaction of $25,606,501.20. Following the transaction, the director owned 1,391,615 shares of the company’s stock, valued at approximately $627,145,215.90. The trade was a 3.92% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 119,457 shares of company stock valued at $53,501,145. Insiders own 19.90% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Sivia Capital Partners LLC raised its position in shares of Tesla by 9.1% in the second quarter. Sivia Capital Partners LLC now owns 12,135 shares of the electric vehicle producer’s stock valued at $3,855,000 after buying an additional 1,011 shares during the last quarter. Revolve Wealth Partners LLC raised its holdings in Tesla by 21.2% in the 4th quarter. Revolve Wealth Partners LLC now owns 5,317 shares of the electric vehicle producer’s stock valued at $2,147,000 after acquiring an additional 931 shares during the last quarter. Bison Wealth LLC lifted its stake in shares of Tesla by 52.2% during the 4th quarter. Bison Wealth LLC now owns 10,368 shares of the electric vehicle producer’s stock worth $4,187,000 after purchasing an additional 3,558 shares during the period. Schnieders Capital Management LLC. grew its position in shares of Tesla by 94.2% in the second quarter. Schnieders Capital Management LLC. now owns 9,085 shares of the electric vehicle producer’s stock valued at $2,886,000 after purchasing an additional 4,406 shares during the period. Finally, Brighton Jones LLC increased its stake in Tesla by 11.8% in the fourth quarter. Brighton Jones LLC now owns 87,929 shares of the electric vehicle producer’s stock valued at $35,509,000 after purchasing an additional 9,293 shares during the last quarter. 66.20% of the stock is currently owned by institutional investors and hedge funds.

Tesla News Roundup

Here are the key news stories impacting Tesla this week:

• Positive Sentiment: Tesla beat Q4 estimates on EPS and revenue, giving investors room to look past weaker vehicle deliveries. Tesla revenue beats estimates
• Positive Sentiment: Elon Musk outlined an AI/robotics pivot and said Tesla will end Model S & X production to free factory capacity for Optimus — plus Tesla will invest $2B in Musk’s xAI, a signal the company is prioritizing long?term AI/robotics revenue. Tesla Shares Rise As Musk Outlines AI Pivot
• Positive Sentiment: Tesla plans to more than double capital spending to ~$20B in 2026 to fund Cybercab, Optimus and chip manufacturing — investors see this as financing the company’s transition to “physical AI.” Tesla plans $20B capex
• Positive Sentiment: Top analysts are pushing price targets higher on the AI/robotics narrative (Mizuho raised its target citing “physical AI” potential). Mizuho raises price target
• Neutral Sentiment: Tesla disclosed ~1.1M active FSD subscriptions (now a recurring revenue stream under a $99/mo model) — a long?term monetization cue but with uncertain near?term impact. Tesla reveals FSD subscriptions
• Neutral Sentiment: Early market reaction (including a mid?session bounce in Frankfurt) reflects investors pricing in the AI/robotics story even as auto metrics soften. Shares up in Frankfurt
• Negative Sentiment: Tesla reported its first full?year revenue decline and profit compression amid weaker deliveries and rising costs — a reminder the core auto business is under pressure. Tesla suffers first annual drop in revenue
• Negative Sentiment: Brand and political controversies (including a public clash between Musk and investor Vinod Khosla) and a notable fall in brand value continue to pose reputational risks that can weigh on consumer demand. Musk, Vinod Khosla clash

Wall Street Analysts Forecast Growth

TSLA has been the subject of several analyst reports. Benchmark restated a “buy” rating on shares of Tesla in a research note on Thursday, October 23rd. DZ Bank restated a “sell” rating on shares of Tesla in a research report on Tuesday, January 6th. Cantor Fitzgerald set a $510.00 target price on shares of Tesla and gave the company an “overweight” rating in a report on Thursday, October 23rd. Wells Fargo & Company reissued an “underweight” rating and set a $130.00 price target (up from $120.00) on shares of Tesla in a report on Monday, January 12th. Finally, Wall Street Zen upgraded Tesla from a “sell” rating to a “hold” rating in a research report on Saturday, October 25th. Eighteen equities research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and eight have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Tesla currently has a consensus rating of “Hold” and a consensus target price of $410.28.

Tesla Company Profile

Tesla, Inc (NASDAQ: TSLA) is an American company that designs, manufactures and sells electric vehicles, energy generation and energy storage products. Founded in 2003 by Martin Eberhard and Marc Tarpenning, Tesla grew into a vertically integrated mobility and clean?energy company with Elon Musk serving as its chief executive officer. The company’s stated mission is to accelerate the world’s transition to sustainable energy, reflected in its combined focus on electric drivetrains, battery technology, renewable energy products and software.

Tesla’s automotive business includes a lineup of battery?electric vehicles and related services.