Tesla’s earnings missed forecast

Tesla’s earnings missed forecast

What happened to Tesla?

The electric carmaker reported mixed fourth-quarter financial results on Wednesday. Earnings per share (EPS) accounted for 80 cents versus the forecast of $1.04 cents. The company’s revenue of $10.74 billion surpassed the estimate of $10.47 billion. Tesla said that it expected the pace of growth to pick up in 2021. Shares fell by more than 4% on the news.  

Why is it important?

The year 2020 has been extremely positive for Elon Musk’s company. The stock has actually gained more than 740%. It was the second year in a row of positive cash flow and Tesla has finally joined S&P 500.

Tesla deliveries rose by 36% during the pandemic year, while other major carmakers such as Ford, General Motors, and Fiat Chrysler reported full-year declines in auto sales.

What does it mean for traders?

Many traders and investors think highly of the company and expect it to continue beating expectations. If Tesla keeps delivering, this will lead the price to yet new highs. Joe Biden is more favorable towards clean energy companies and electric car manufacturers than Donald Trump has been. In addition, Tesla has strong facilities in China (Shanghai Gigafactory) that has contributed to the recent growth. As a result, the company’s aspirations for faster growth look well grounded.

For now, however, it’s necessary to understand that much of a positive outlook is already in the price. The average selling price fell 11% as the sale mixed shifted to the cheaper Model 3 and Y vs. the Model S and X. The company is going to face fiercer competition and it failed to provide a clear target for 2021 vehicle deliveries.


Pay close attention to the weekly chart: after a series of ‘inside bar’ patterns, the price may form a ‘Fakey’. This would send it to a correction towards $800.

You can also trade Tesla stock with FBS Trader mobile app. Remember that stock trading starts as the US session begins (at 16:30 MT time). 


Don't know how to trade stocks? Here are some simple steps.

  1. First of all, be sure you’ve downloaded Metatrader 5 or FBS Trader app. FBS allows you to trade stocks only through this software.
  2. Open the MT5 account in your personal area (an account in FBS Trader).
  3. Start trading!

                                                                                                  LOG IN


Pharma stocks: January gains
Pharma stocks: January gains

If you only you entered position with these stocks a month ago.. See the article and see what you'd have by now.

Latest news

Risk on is back on market
Risk on is back on market

The risk-on is back on the market as investors focus on the projections for a stronger-than-expected economic rebound and the Fed’s pledge to prolong support for the rest of the year.

Deposit with your local payment systems

Learn more

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.


A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in 00:30:00

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera