Tesla is set to release its fourth-quarter earnings report, and investors are bracing for potential volatility in the company’s share price.

As we approach the earnings announcement, let’s delve into what to expect from Tesla’s upcoming financial results and explore some trading strategies to navigate this announcement.

When Will Tesla Report Q4 Results?

Tesla is scheduled to unveil its fourth-quarter results on Thursday, January 25th, at 8 am (AEDT), after the close of the market.

There’s no doubt it will have a significant impact on Tesla’s stock performance.

FILE PHOTO: Tesla’s Cybertruck is displayed at Manhattan’s Meatpacking District in New York City, U.S., May 8, 2021. REUTERS/Jeenah Moon

Analysing Tesla’s Q3 Performance

Tesla’s previous quarter, Q3, was marked by disappointment as the company missed both earnings and revenue expectations.

Additionally, concerns were raised about the potential of the Cybertruck to generate substantial short-term positive cash flow.

These factors contributed to a challenging quarter for the electric vehicle manufacturer.

Tesla forced to change range estimates

Breaking Down Tesla’s Q4 Production and Deliveries

Despite the challenges faced in the previous quarter, Tesla achieved record-breaking numbers in Q4 2023.

The company reported over 484,000 deliveries and nearly 495,000 vehicles produced. In total, Tesla produced 1.846 million vehicles and delivered just under 1.81 million units.

While these figures exceeded the 2022 totals of 1.37 million and were in line with the October guidance of 1.8 million, they fell short of Tesla’s earlier 2023 goal of two million vehicles.

Breaking down the numbers further, approximately 477,000 Model 3/Y vehicles were produced, with over 461,000 delivered. The “Other Models” category accounted for 18,200 vehicles (3.8% of the total) produced and 23,000 delivered.

Tesla’s Eventful Quarter

The fourth quarter of 2023 saw Chinese electric vehicle manufacturer BYD surpass Tesla as the world’s largest producer of electric vehicles, primarily due to its lower-priced models.

However, Elon Musk argued that Tesla should not be directly compared to traditional car manufacturers, stating that Tesla is “an AI/robotics company that appears to many to be a car company.”

As Tesla prepares to unveil its Q4 results, investors and traders will closely monitor the company’s financial performance and the impact of various factors on its share price.

With the potential for market volatility, devising well-thought-out trading strategies will be essential to navigate this critical event in Tesla’s journey.