Tesla, Inc. (TSLA) will post its financial results for the third quarter of 2023 after market close on Wednesday, October 18, 2023. (1)
Wall Street expects the electric vehicle (EV) maker to earn $0.74 per share (EPS) for the quarter with sales hitting $24.16 billion. While sales are expected to climb 10 percent from $21.96 billion for the same quarter last year, EPS are projected to slip from $1.02 for the same period last year. (2)
Next week’s financial report card could drive Elon Musk’s company into a new uptrend if investors are enthusiastic about Tesla’s results. Like the market indexes, TSLA shares are down from their mid-summer high. However, the stock recently made a higher, cycle low. If earnings news can propel the stock beyond $280 on the close, that would be a higher, cycle high, which tends to be the calling card for an uptrend.
We also see converging trend lines that connect tops and bottoms on TSLA’s chart. This left arrow, or pennant, or flag action, whatever you want to call it, usually precedes a change in direction as well. Most likely up in this case.
If guidance and results underwhelm, shares should find support at three levels below.
- The 50-day moving average of $250.35
- The mid-$230s
- And eventually the 200-day benchmark of $210.26 and rising.
Overall: Tesla, Inc’s (TSLA) stock chart is tilting towards a positive reaction to next week’s third quarter earnings announcement. Of course, current world events could override the best of results and over amplify a negative release.
Trading earnings is as risky as it gets and is only appropriate for speculative money investors who can afford to lose in a short timeframe.
Rich Meyers
1 – https://ir.tesla.com/press-release/tesla-vehicle-production-deliveries-and-date-financial-results-webcast-third-quarter-2023
2 – https://finance.yahoo.com/quote/TSLA/analysis?p=TSLA