Tesla Falls 6% After Q3 Deliveries Fail to Impress Analysts

Tesla (NASDAQ:TSLA) shares dropped over 6% intra-day today after the company announced third-quarter 2024 deliveries of 462,890 vehicles. While this figure aligned with Wall Street analyst estimates, it fell short of investor hopes for a more substantial beat.

Tesla's Q3 production totaled 469,796 vehicles, with the majority—443,668—coming from its Model 3/Y lineup. Other models, including the Model S, X, and Cybertruck, accounted for 26,128 units.

Barclays noted that although the delivery number met expectations, investors had been hoping for a more notable outperformance. Tesla’s production figures slightly exceeded estimates, but this did little to ease the disappointment in the market.

Oppenheimer analysts pointed out that weaker demand in Europe was balanced by stronger sales in China, shifting the focus to Tesla’s upcoming AI Day on October 10. During this event, the company is expected to highlight advancements in robotaxi technology and humanoid robots.

Wedbush analysts described the Q3 delivery numbers as a positive step but acknowledged the missed opportunity for a stronger beat. They remain confident in Tesla’s ability to reach its full-year target of 1.8 million deliveries, despite hurdles earlier in the year, and anticipate further clarity on Tesla’s outlook during its Q3 earnings call on October 23.

Despite some near-term pressure on Tesla's stock due to the delivery results, analysts remain optimistic about the company’s long-term potential, particularly in AI and autonomous driving technology.