As the US markets opened on Friday, Tesla’s stock continued to rise, increasing 4.43 per cent. Following the company’s announcement of a 17% increase in third-quarter profits, Tesla shares listed on the Nasdaq index saw an uptick.
When trading began at 9:30 am EDT, Tesla shares were trading at $257.69. They increased by 4.43 per cent to $269.11 at 09:58 am EDT.
At 12:35 PM EDT on Friday, Tesla shares are up 2.72 per cent at $267.62 from $260.48 at the last market close. In Friday’s session, the Nasdaq Composite increased 1.29 per cent to 18,653 points from 18,415.49 points at the previous market close.
According to sources, Tesla’s stock jumped 19% on Thursday on the release of the third-quarter earnings by the Elon Musk-led electric car manufacturer. The corporation is expected to increase its market value by around $115 billion, according to Reuters.
In comparison to the same quarter last year, the company’s reported net income of $2.2 billion represented a 17% rise. Additionally, Tesla reported that its revenues climbed by 8% to $25.2 billion.
The low cost per vehicle as a result of declining material and freight prices is what is responsible for Tesla’s profits. According to an AFP story, the business anticipates “slight growth” in 2024 deliveries despite the current economic climate.
Additionally, Tesla predicted that car sales will increase by 30% in the upcoming year.
“Something like 20 per cent to 30 per cent growth next year is my best guess,” said Elon Musk, as per media reports.
In contrast to the previous quarter, when the company’s net income dropped from $2.70 billion to $1.48 billion year over year, Tesla’s third-quarter statistics demonstrated a turnaround. The stock’s worth increased as a result of this quarter’s performance.
Tesla’s stock dropped 8% following the prior quarter’s report because the business fell short of forecasts.
