Tesla Earnings Analysis and Company Forecast
Tesla will be reporting earnings on February 7 after the market close. This assignment will be graded on a point scale of 1 – 25 and count toward 25% of the class grade. You are required to read the earnings release and 10-Q and listen to the conference call (live or replay). Then submit a research paper of at least 3 pages with the same format as the individual papers which:
- Analyzes the important financial metrics of the quarterly earnings report
- Compares actual revenues and net income versus that of consensus analysts’ forecasts
- Discuss why the company performed better or worse than forecast
- Your opinion of management’s 1st quarter guidance,
- Discuss market reaction to the earnings report
Solution
Tesla Incorporated
Tesla Inc. uses non-GAAP financial information as a measure of financial performance in the final quarter of 2017. The non-GAAP financial metrics enable the management team to conduct an internal comparison of the organization between the historical and present result as well as look at the output of competitors in the market. Also, these measures offer vital information to investors with regard to the organization’s financial health and results of operations as there are significant transparency and accountability in business. In totality, Tesla largely uses financial factors in measuring enhancement in performance in terms of profitability and cost-effectiveness in operations. Among the financial factors that Tesla Inc. has employed in measuring performance is the monetary value of assets held compared to debt levels that the organization has sustained……………………………….To access the rest of the solution for $5, please click on the purchase button.
