good news for Tesla stocks fans next week we'll begin Q2 earnings season in Earnest and as always those reports will play a critical role in determining the state of the economy and path of the stock market among the Litany of analytics tools the earnings expected surprise prediction might be the coolest the earnings ESP looks to find companies that have recently seen positive earnings estimate revision activity Tesla are all set to beat analyst estimates at their scheduled earnings announcements next week additionally Tesla have very strong long-term expectations with projecting earnings growth greater than 20 annually over the next three to five years while beating estimates may not always guarantee a stock trade higher on average it plays favorably so long as there isn't particularly bad news following the beat Tesla is having a tremendous year so far up 127 YT and growing sales even faster than most anticipated that along with the news of its charger Network set to be standardized for broad adoption in the U.S Tesla continues to lead the EV transition tslase earnings ESP is forecasting a 2.41 beat at next week's quarterly earnings report although Telsa has a hold rating it has begun to see its earnings estimates rise over the last couple of months current quarterly earnings have been revised Higher by 3.75 and are expected to climb 9.2 yoy also worth noting sales are projected to grow a whopping 47 yoy to 25 billion dollars the automaker is riding on the robust demand for models 3 and Y which form a major chunk of its total deliveries deliveries of model 3 why witness the cagr of more than 100 over the last three years also Tesla breaks out its energy business for investors to monitor revenue from energy generation and storage grew nearly 150 year-over-year reaching more than 1.5 billion dollars in the first quarter that represented 6.5 of the company's total revenue it should also continue to grow as Tesla has invested heavily to grow its facilities in Nevada and California but there's another segment that investors need to start paying closer attention to what Tesla designates as services and other Revenue includes the company's supercharger Network that segment also grew strongly year over year in the first quarter and contributed about eight percent of total revenue since that time Tesla has agreed to open up its fast charging Network to non-tesla Brands Ford General Motors rivien and Volvo have all reached deals with Tesla for their customers to use the supercharger Network while the terms of those agreements weren't disclosed the move to open its proprietary charging Network to others will drive Revenue in this segment higher the convenience and reliability of Tesla's superchargers undoubtedly drove some EV buyers to Tesla there is the possibility that the new strategy will help competitors sell their growing EV offerings but if the adoption of EVS grows as many industry observers believe the positive contributions should outweigh any benefits it gives to competing manufacturers investors should monitor Tesla's Services segment in the coming months and years to see how much it will help Drive revenue and earnings growth additional opportunities from Tesla's charging and energy businesses are partly what long-term investors are looking at when buying Tesla shares now Tesla is scheduled to announce its results Wednesday July 19 after the market close an investor should consider Tesla a long-term investment for those that might need the money in the near future it would make sense to sell some Tesla stock now after its recent run but for those looking for future gains holding or adding new shares still make sense now foreign [Music]
