Tag Archives: technology

Tesla Forecasts Production, Spending Hikes Amid Strong Demand

Tesla Motors ( TSLA ) expects to ship 20,000 cars in Q2, up 30% sequentially, and said capital expenditures will be 50% higher than previous guidance of $1.5 billion. The electric car maker is also bumping up its 500,000 unit build plan by two years to 2018 due to the “overwhelming demand” for the Model 3. Tesla lost 57 a share in Q1, deepening the 36-cent loss in last year’s Q1, and slightly beating consensus for a 58-cent per-share loss. This included a 7-cent positive impact from “unrealized gains from revaluation of our foreign currency transactions,” according to management’s letter to shareholders. Non-GAAP sales rose 45% to $1.6 billion, and GAAP sales totaled $1.15 billion. Analysts were expecting $1.6 billion. Tesla shares jumped 5.5% in late trading, after closing down 4% in the regular session. Tesla said “we remain confident that we can deliver 80,000 to 90,000 new Model S and Model X vehicles in 2016.” It added that it expects 30% gross margin on the Model S sedan and 25% on the Model X SUV by year-end. At the same time, it predicted a 20% to 25% operating-expense increase by year-end. Earlier Wednesday, Bloomberg broke the news that Greg Reichow , Tesla’s vice president of production, and manufacturing chief Josh Ensign will exit the company, bringing the number of vice presidents who’ve left so far this year to five. Reichow, who joined in 2011, was a particularly significant player at Tesla, having led a team responsible for “building an all-new manufacturing organization from the ground up and for making Model S and Model X a reality,” according to Chief Executive Elon Musk. Reichow’s departure was described as a leave of absence, but its length wasn’t specified. Bloomberg also cited an anonymous source saying that glitches in the launch of the Model X were tied to the executives’ departures, though Tesla denied this.

Qorvo Sidesteps Apple iPhone Drag To Crush Fiscal Q4 Views

Qorvo ( QRVO ) sidestepped Apple ‘s ( AAPL ) iPhone drag late Wednesday with a Wall Street-crushing fiscal Q4 earnings report, and with guidance that — unlike rival Skyworks Solutions ( SWKS ) — topped consensus expectations. In after-hours trading, Qorvo stock rocketed more than 8% after closing down 1.2% in Wednesday’s regular session, and leading shares of radio-frequency rivals Skyworks and Broadcom ( AVGO ), whose stocks both rose a fraction. For its fiscal Q4 ended April 2, Qorvo reported $608.1 million in sales and $1.04 earnings per share minus items, down a respective 4% and 6% vs. the year-earlier quarter, but topping analysts’ model for $599.2 million and 92 cents. Three months ago, Qorvo guided to $600 million and 90-95 cents. Qorvo ended fiscal 2016 with $2.61 billion in sales, up 53%, and $4.38 EPS ex items, down 8%. Sales edged the consensus of 20 analysts polled by Thomson Reuters for $2.6 billion, but EPS topped by 12 cents. Current-quarter guidance for $650 million in sales and $1.05 EPS minus items would be down 6% and 12% year over year, but that’s ahead of analyst expectations for $628.6 million and 96 cents. Last week, Skyworks reported fiscal Q2 metrics that topped views, but shares crashed 6.9% on Q3 sales guidance that missed by about $50 million. Analysts called for a similar report from Qorvo, which is more heavily exposed to Apple’s iPhone product cycle. Apple iPhone sales have slowed — for the first time — ahead of the iPhone 7 release expected in September. But all three RF suppliers will ramp up on the iPhone 7, Goldman Sachs analyst Toshiya Hari says.

Tesla Motors And ‘Cousin’ SolarCity Breach Key Support

Loading the player… SolarCity ( SCTY ) and Tesla Motors ( TSLA ) are breaching support at key levels in the stock market today. SolarCity reports quarterly results next Monday. The stock rose nearly 5% Wednesday morning on a bullish analyst rating, but it reversed lower amid a market sell-off. SolarCity fell 10.6% to 23.65, breaking below its 50-day moving average in quick turnover. The stock has fallen for five straight sessions. SolarCity is trading about 63% off its 52-week high, as shares have been scorched in recent months by Nevada’s new net-metering rules. Guggenheim initiated coverage on the solar panel installer with a buy rating and a price target of 38. On Monday, Credit Suisse cut its price target on SolarCity to 62 from 89 while maintaining its outperform rating. When it reports after the close next Monday, SolarCity is expected to report a 61% revenue rise, while its per-share loss widens to $2.34 a share from $1.52 a share last year. SolarCity’s “cousin company” Tesla — which is helmed by SolarCity Chairman Elon Musk — reports after the close tonight, Wednesday evening. Tesla stock sank 4.2% to 222.56, breaching support at its 50-day and 200-day lines. Tesla is projected to show a widened bottom-line loss on sales growth of 45% as the automaker ramps up production of its Model X car, projected to go for $80,000 and up. Tesla’s Powerwall battery storage units are now beginning residential installations. SolarCity, whose founders are Musk’s cousins, is incorporating the Tesla batteries into its own energy storage system. Meanwhile, SolarCity rival Sunrun ( RUN ) reports earnings next Thursday. The August 2015 IPO’s sales are projected to come in at $83.4 million, down 16% from Q4, while its loss deepens from last quarter to 53 cents a share. Sunrun is up nearly 60% from its February low, but it is still nearly 50% below its all-time high reached in December. Sunrun fell 1.6% Wednesday . Elsewhere in the solar panel space, Solaredge ( SEDG ) fell 4%, and First Solar ( FSLR ) retreated by 2%. First Solar has lost 16% in five days since reporting weaker-than-expected revenue last week. Sunpower ( SPWR ), which reports earnings Thursday, fell 2.35%.