🚨 Key Insights from $TSLA Q4 Earnings Call

Earnings and future plans highlight a mix of achievements and ambitious goals, but the market's reception reflects cautious optimism.

• Earnings Miss and Market Reaction: Tesla reported Q4 2024 revenue of $25.7 billion, missing Wall Street estimates of $27.25 billion, and non-GAAP EPS of $0.73, slightly below the expected $0.76. Despite record vehicle deliveries and energy storage deployments, automotive revenue declined 8% YoY due to price cuts. The stock's muted post-earnings reaction underscores investor concerns about execution risks and profitability pressures

• Energy Storage Growth vs. Vehicle Delivery Challenges: Tesla's energy storage business surged with a 113% YoY increase in revenue and record deployments of 31.4 GWh in 2024, driven by Megapack production ramp-ups. However, vehicle deliveries for the year fell 1.07% YoY, marking the first decline in over a decade, reflecting intensifying competition and price pressures in the EV market

• Full Self-Driving (FSD) and Licensing Potential: Tesla plans to launch unsupervised FSD in Texas by mid-2025 and expand to California later in the year, but regulatory hurdles and technical challenges persist. Interest from other automakers in licensing FSD could become a significant revenue stream, though implementation timelines remain uncertain
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