Tesla delivered 466,000 cars in another record quarter. Analysts called it a 'massive step in the right direction.'
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- Tesla posted another record quarter for the three months to June 30, it said on Sunday.
- The EV leader produced nearly 480,000 vehicles and delivered about 466,000, Tesla said.
- It's another indication Tesla's strategy of starting to operate like other auto makers is working.
Tesla posted another record quarter for both production and deliveries in the three months to June 30.
The EV market leader said Sunday that it produced 479,700 cars, and delivered 466,140 – both exceeding the totals for the first quarter of this year.
The second quarter figures are not far off double the tallies for the same period last year.
While production still outpaced sales, Tesla beat analyst expectations for the second quarter of about 445,000 deliveries, according to FactSet data reported by the The Wall Street Journal. "Deliveries" are the closest figure to sales that Tesla reports.
Analysts at Wedbush Securities said the delivery figure was a "massive step in the right direction" for Tesla. They maintained a $300 price target on the stock and said the numbers would "put the bears back into hibernation mode."
Tesla shares closed Friday at $261 and have soared 142% this year, valuing the company at $820 billion.
"We believe the sum-of-the-parts story for Tesla is another step towards coming into play with its newly released supercharger network OEM deals, energy business, AI-driven autonomous path, unmatched battery ecosystem, and increased production scale/scope globally adding to the Tesla golden EV success story," Wedbush analysts including Dan Ives wrote.
Tesla reports its second quarter results and will hold an investor call on July 19.
According to Insider's Alexa St. John, the second quarter figures seem to show that Tesla's succeeding in its shift towards acting like a conventional car company. It's started advertising, selling to rental companies, and discounting vehicles due to production outstripping demand.
The quarter also brought about another win for Tesla, as other EV makers like Ford, Rivian, and General Motors all announced deals to use Tesla's charging technology.
Tesla's repeatedly changed prices of its vehicles this year, starting 2023 off by cutting prices, which some analysts said appeared to be the start of an EV price war between Tesla and other automakers that have jumped on the EV bandwagon.
Some experts told Insider's George Glover and Beatrice Nolan earlier this year that the price cuts appeared to be working, as demand was increasing for Tesla's now-cheaper models.