Nine profitable quarters and counting. With its blockbuster Q3 2021 results, Tesla (NASDAQ:TSLA) has all but proven that is a sustainable business. An earnings per share (EPS) of $1.86 and a monster 30.5% automotive gross margin just proves that. Tesla was bold in its Q3 2021 Update Letter, and for good reason. In the third quarter, Tesla achieved its best-ever net income, operating profit, and gross profit — all while its ASP decreased by 6% year-over-year.
As discussed in the company’s Q3 2021 Update Letter, Tesla achieved some milestones in the third quarter. The Fremont Factory has produced more than 430,000 vehicles on its own in the last four quarters, and it’s still being improved. Giga Shanghai has settled into its role as the company’s export hub, Giga Texas is in the pre-production stage of the Model Y, and Giga Berlin is ready to hit the ground running. Tesla Energy also continues to ramp.
The following are live updates from Tesla’s Q3 2021 earnings call. I will be updating this article in real-time, so please keep refreshing the page to view the latest updates on this story. The first entry starts at the bottom of the page.
15:33 PT: And that wraps up Tesla’s first Elon-less earnings call! Thanks so much for staying with us for today’s coverage. Until the next time then!
15:31 PT: Jonathan Dorsheimer from Cannacord. Kirkhorn noted that Tesla is aiming to produce its first vehicles in both Berlin and Texas by the end of the year. With this in mind, there is quite an execution journey ahead of the company. There should be no expectation that there will be cars delivered from Giga Berlin and Giga Texas this year, however, partly due to regulatory reasons. As for how this impacts margins, it’s difficult to predict. It’s tricky to really tell how ramping production will effect margins.
15:28 PT: Trip Chowdry asks about the differences about Giga Berlin and Giga Texas. He also asks about the supply for the Cybertruck’s exoskeleton.
Tesla notes that the Cybertruck is designed for durability. There are some early decisions that were made, but there’s progress being made. Suppliers are being tapped to ensure that the Cybertruck could be ramped fairly well. That being said, Tesla has already begun the casting of the Cybertruck’s initial exoskeleton.
As for the differences between Giga Berlin and Giga Texas, their differences are more unique to their respective regional locations.
15:24 PT: Brian Johnson from Barclays takes the floor. He thanks Tesla for not making the earnings call into a “one man show.” He asks about the progress on FSD and its timetable for Level 4 capability.
Kirkhorn noted that it’s difficult to be specific on FSD’s timelines. Tesla can only state that it’s working very hard on this, and the company has been very transparent on its development. “Tesla Autopilot is working extremely hard. “You can feel the progress,” Kirkhorn said. The team is moving quickly too, so improvements should be substantial.
Lars Moravy adds that Tesla always works with regulatory bodies, including the NHTSA. He noted that Tesla is providing the information as incidents occur, and it is one of the only companies that responded to these probes.
15:20 PT: Collin Rusch from Oppenheimer asks about battery anode materials. With regards to this inquiry, Tesla notes that the anode materials are not at the same place in terms of commodities. The company also reiterated the notion that its primary focus on the anode side is to reduce costs, at least without impeding the long-term recyclability.
As for the company’s vehicle pricing strategies, the CFO noted that there seems to be a profound awakening among consumers about electric vehicles. “There has been a profound awakening of desirability for EVs,” Kirkhorn said. It’s so notable that Tesla has practically been caught off guard. The company has installed capacity to produce products like its vehicles more, but the grind is real.
Addressing Tesla’s price volatility, the CFO noted that all car companies do this. Tesla just happens to be pretty transparent about it. These fluctuations are due to a variety of factors.
15:15 PT: Colin Langan from Wells Fargo takes the floor. He asks about any possible impact from the battery material price hikes. Kirkhorn noted that Tesla has indeed seen the impact of this, though the company is focused on nickel. The CFO notes that some of these costs have been passed on to the company. It’s also possible for Tesla to see some cost headwinds in the coming year, at least considering the volatility of the market right now. Kirkhorn noted that Tesla must lower the price of its products, and optimize its operations even further. “We have no choice but to continue on that path,” the CFO said.
15:11 PT: Joseph Spak from RBC takes the floor. He asks if Tesla has a aspirational gross margin target when in the long term? Kirkhorn notes that Tesla is implementing lots of efficiencies and production ramps in multiple sites. This would likely put downward pressure on the company’s gross margins in the near term. Cost increases on the commodity side are also present. “There are a number of unknown unknowns that we need to work through. We are seeing costs increase on the commodity side,” the CFO said.
Kirkhorn also noted that Tesla’s operating expenses are decreasing, and the company hopes to improve this in the next four to five quarters. Tesla, at least for now, is focused on lowering overhead expenses and operating expenses.
15:07 PT: Looks like Tesla’s Safety Score system is working so far. There are about 150,000 cars currently using the Safety Score system, and the company has so far noted that the probability of a collision for a customer using the safety score is about 30% lower. That’s not bad at all. “We’re off to a good start here,” Kirkhorn said.
15:05 PT: And Pierre Ferragu is here! He asks about Tesla Insurance, especially since the company has launched the service in Texas. He asks how Tesla will distribute this service. Will there be a marketing push? What’s the expansion plan? How fast will it happen?
Kirkhorn noted that he is extremely passionate about Tesla Insurance. Tesla is doing a lot if work in its efforts to enter the insurance market. “We want as many people as possible to afford our products,” the CFO said, noting that this is key to the company’s mission. As such, lowering insurance costs helps Tesla and its customers at the same time.
The CFO noted that traditional insurance typically utilizes limited data. And this causes some insurance rates for Teslas to be quite unfair. “Low-risk customers end up paying more, essentially subsidizing high-risk customers,” Kirkhorn said. Tesla Insurance aims to change this. There’s the Safety Score system, as well as the immense amount of data that Tesla can access from its vehicles. With this data, insurance pricing becomes a lot fairer.
14:59 PT: Looks like some tech issues there. Tesla is now checking in to solve the analysts’ technical issues. To pass the time, more investor questions are taken. An inquiry about transferring FSD to another vehicle was asked. Kirkhorn noted that a premium is paid by the company when it buys back vehicles that are equipped with FSD. “We’re already actually doing the sentiment of this question,” he said.
14:57 PT: Pierre Ferragu from New Street Research is up. His mic is not working, however. Joseph Spak of RBC is called on to take Pierre’s spot temporarily. But his mic is also not working. Strange.
14:56 PT: Final question from investors is about FSD and its pricing. Kirkhorn declined to comment on any pricing strategies in the near term. However, he did state that Tesla is learning what it can from FSD subscriptions today. The CFO also noted that Tesla has observed how owners become curious about the company’s software offerings when they purchase vehicles.
14:53 PT: As for Supercharger wait ties, a dedicated team is monitoring congestions. Average congestion has decreased over the past 18 months, and the company is focused on accelerating the expansion of the rapid charging network. Tesla plans to double its Superchargers in the near future, potentially tripling the network later on. The company is also focused on lowering Supercharging time, and rolling out strategies like encouraging owners to charge their vehicles in off-peak hours.
14:51 PT: As for Tesla service issues and Supercharger wait times, Kirkhorn noted that these issues are not unique to Tesla. Returning to normalcy amidst a pandemic is no joke, after all. More people are driving now, and thus, the need for service has also increased. Logistics-wise, sourcing parts has also been challenging.
Tesla is so far focused on just expanding its service network, with the company’s service footprint growing by 35%. Mobile service footprint has grown by 40%. The company is adding staffing as fast as it can as well.
14:48 PT: As for NHTSA officials that seem engaged with TSLAQ and the potential tightening of regulations, Baglino noted that Tesla is also working with safety regulators in the United States. He did state that Tesla keeps safety as a key pillar in its vehicle development, so all I could really do is be as transparent as possible. “We expect and embrace this scrutiny. We take safety as a top priority. We will continue to be transparent on how our software is developing,” Baglino said.
“Safety is extremely important for Tesla. It’s the right thing to do,” Kirkhorn noted, adding that Tesla’s “goal is to go beyond what the software can provide.”
14:44 PT: As for the capacity of the company’s production facilities by 2024, Kirkhorn noted that Tesla’s goal is to grow about 50% every year. Estimates can be extrapolated from this goal. That being said, Tesla has pushed the boundaries in facilities like the Fremont Factory, which is still being optimized. “”Our goal is to grow on an average pace of 50% per year,” he said.
The CFO also mentioned Giga Shanghai, which is currently producing the Model Y. Kirkhorn noted that Austin and Berlin are both launching with the Model Y, but they were built in areas where massive expansions are possible. He quotes an estimate of 10,000 vehicles per week as a possible target.
14:41 PT: Next question is about FSD Beta. The CTO noted that it’s not a matter of how much data can be collected, but how quickly the data can be processed. Baglino noted that this is really where Dojo comes in.
14:40 PT: Retail investor questions begin. First up is are the 4680 cells. According to Drew Baglino, the testing of 4680 cells has gone well. The development of the $25K car is also progressing fairly, with estimates still poised for a potential 2023 release. For now, however, Baglino noted that Tesla is heavily focused on vehicles like the Cybertruck and Model Y.
14:38 PT: Giga Berlin and Texas are poised to start ramping. Echoing Elon’s typical comments, Zach noted that the two sites are nearing the built of their first production cars. The CFO noted, however, that the hardest work lies in ramping Austin and Berlin production lines. “Overall, I’m very proud of what the team has accomplished,” Kirkhorn said.
14:35 PT: Zach takes the floor, noting that Tesla is making great progress as a company. He states that Tesla has achieved an annualized production run rate of 1 million cars per year. He does note that Model S and Model X would take some time to get back to their previous volumes, but he is optimistic.
He adds that while Tesla has practically doubled its deliveries, the company is still heavily challenged by the supply chain shortage. Factories are still not at full capacity. Tesla is just making things work by sheer hard work. Backlog is also increasing. As for energy storage, Powerwall and Megapack production is getting better. The production of 4680 cells is also making some headway. Model S is back to positive gross margins too.
14:32 PT: It begins! NO ELON on today’s call. Just Zach and Drew. Martin Viecha is doing the preliminaries.
14:30 PT: As we wait for the start of the Q3 2021 earnings call, a particularly interesting question that would be answered in a few minutes is if Tesla CEO Elon Musk would be on the call itself. He did say that he’d probably stop attending these things last quarter, but there’s a ton of stuff that Elon would probably like to address today. If the Q3 2021 Update Letter is any indication, Tesla achieved a ton this quarter, and much of those milestones deserve some in-depth insights.
14:25 PT: Good day, everyone, and welcome to another live blog of Tesla’s earnings call! Well, look what we have here. Nine profitable quarters. Something like this would have gotten a Tesla bull beaten up on Twitter just a couple years ago, but here we are. Now we wait.
Disclaimer: I am long TSLA.
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Elon Musk
SpaceX just forced Verizon, AT&T and T-Mobile to team up for the first time in history
AT&T, T-Mobile, and Verizon just joined forces for one reason: Starlink is winning.
America’s three largest wireless carriers, AT&T, T-Mobile, and Verizon, announced on On May 14, 2026 that they had agreed in principle to form a joint venture aimed at pooling their spectrum resources to expand satellite-based direct-to-device (D2D) connectivity across the United States in what can be seen as a direct response to SpaceX’s Starlink initiative. D2D, in plain terms, is technology that lets a standard smartphone connect directly to a satellite in orbit, the same way it connects to a cell tower, with no extra hardware required.
The alliance is widely seen as a means to slow Starlink’s rapid expansion in the satellite internet and mobile markets. SpaceX’s Starlink Mobile service launched commercially in July 2025 through a partnership with T-Mobile, starting with messaging before expanding to broadband data. SpaceX secured access to valuable wireless spectrum through its $17 billion deal with EchoStar, paving the way for significantly faster satellite-to-phone speeds.
SpaceX was not shy about its reaction. SpaceX president and COO Gwynne Shotwell responded on X: “Weeeelllll, I guess Starlink Mobile is doing something right! It’s David and Goliath (X3) all over again — I’m bettin’ on David.” SpaceX’s VP of Satellite Policy David Goldman went further, flagging potential antitrust concerns and asking whether the DOJ would even allow three dominant competitors to coordinate in a market where a new rival is actively entering.
Weeeelllll, I guess @Starlink Mobile is doing something right! It’s David and Goliath (X3) all over again — I’m bettin’ on David 🙂 https://t.co/5GzS752mxL
— Gwynne Shotwell (@Gwynne_Shotwell) May 14, 2026
Financial analysts at LightShed Partners were blunt, saying the announcement showed the three carriers are “nervous,” and pointed to the timing: “You announce an agreement in principle when the point is the announcement, not the deal. The timing, weeks ahead of the SpaceX roadshow, was the point.”
As Teslarati reported, SpaceX’s next generation Starlink V2 satellites will deliver up to 100 times the data density of the current system, with custom silicon and phased array antennas enabling around 20 times the throughput of the first generation. The carriers’ JV, which has no definitive agreement, no financial structure, and no deployment timeline yet, will need to move quickly to matter.
Elon Musk’s SpaceX is targeting a Nasdaq listing as early as June 12, aiming for what would be the largest IPO in history. With Starlink now serving over 9 million subscribers across 155 countries, holding 59 carrier partnerships globally, and now powering Air Force One, the carriers’ joint venture announcement landed at exactly the wrong time to look like anything other than a defensive move.
Investor's Corner
Tesla and SpaceX get latest synopsis from Wall Street legend Ron Baron
In a wide-ranging appearance on CNBC’s Squawk Box on May 12, legendary investor Ron Baron, founder, CEO, and portfolio manager of Baron Capital, reaffirmed his deep conviction in Elon Musk’s two flagship companies.
Legendary investor Ron Baron says he will continue buying stock of both Tesla and SpaceX, as he continues his support behind CEO Elon Musk, who he says is a special person and “brilliant.”
In a wide-ranging appearance on CNBC’s Squawk Box on May 12, legendary investor Ron Baron, founder, CEO, and portfolio manager of Baron Capital, reaffirmed his deep conviction in Elon Musk’s two flagship companies.
With assets under management approaching $55–56 billion, Baron detailed his firm’s substantial holdings, outlined plans for the anticipated SpaceX IPO, and painted an exceptionally optimistic picture for both Tesla (NASDAQ: TSLA) and SpaceX, framing them as generational opportunities that will reshape industries and deliver extraordinary long-term returns.
Baron Capital’s position in SpaceX has grown dramatically since the firm began investing around 2017. What started as roughly $1.7 billion has ballooned to more than $15 billion, making it the firm’s largest holding.
Tesla ranks second, valued at approximately $5 billion in the portfolio. Together with stakes in xAI and related Musk-led ventures, these investments account for roughly one-third of Baron Capital’s $60 billion in lifetime profits since 1992. Baron emphasized that the growth stems from Musk’s singular ability to execute ambitious visions—from reusable rockets to global satellite internet and beyond.
The centerpiece of the discussion was SpaceX’s expected initial public offering, targeted for mid-2026 following a confidential S-1 filing. Baron announced plans to purchase an additional $1 billion in shares at the IPO.
Ron Baron said today that he plans on buying an additional $1 billion of SpaceX stock during the upcoming IPO:
“At the IPO price, I’ve got an order for $1 billion. I want to buy more stock at the IPO. I don’t know if we’re going to get filled, but we’re going to try. I believe… pic.twitter.com/KOv1HvYcZ0
— Sawyer Merritt (@SawyerMerritt) May 12, 2026
He described the company’s trajectory in sweeping terms: “This is going to become the largest company on the planet.”
He highlighted Starlink’s expansion of high-speed internet to every corner of the globe, the revolutionary economics of reusable rockets, and Starship’s potential to enable massive space-based data centers and interplanetary infrastructure.
Baron sees SpaceX not merely as a rocket company but as a platform poised for exponential scaling once it goes public, with post-IPO appreciation potentially reaching 10- to 20- or even 30-times current levels over the next decade or more.
On Tesla, Baron struck an equally enthusiastic note, declaring that “now is Tesla’s moment.” He projected the stock could reach $2,000 to $2,500 per share within 10 years—implying a market capitalization near $8.3 trillion and roughly 5–6 times upside from recent levels. While Tesla remains a major holding, Baron’s optimism centers on its evolution beyond electric vehicles into an AI, robotics, autonomous-driving, and energy platform.
He pointed to robotaxis, Full Self-Driving (FSD) technology, Optimus humanoid robots, energy storage, and the vast real-world data advantage from Tesla’s global fleet as catalysts that will fundamentally alter the company’s revenue model and valuation multiples. Baron views these developments as transformative, shifting Tesla from a traditional automaker to a high-margin technology and infrastructure powerhouse.
Throughout the interview, Baron’s admiration for Musk was unmistakable. He has likened the entrepreneur to a modern Leonardo da Vinci for his artistic, multidisciplinary approach to solving humanity’s biggest challenges.
Baron’s personal commitment mirrors this confidence: he has repeatedly stated he does not expect to sell a single share of his own Tesla or SpaceX holdings in his lifetime, positioning himself as the “last one out” after his clients. This stance underscores a philosophy of patient, long-term ownership rather than short-term trading.
Baron’s comments arrive at a time of heightened anticipation around SpaceX’s public debut, which could rank among the largest IPOs in history and potentially value the company at $1.5–2 trillion or more at listing.
For investors, his message is clear: the Musk ecosystem—spanning electric vehicles, autonomy, robotics, satellite communications, and space exploration—represents one of the most compelling secular growth stories of the era. While short-term volatility in tech and EV stocks may persist, Baron sees these as buying opportunities for those who share his multi-decade horizon.
In summarizing his outlook, Baron reinforced that the combination of technological breakthroughs, massive addressable markets, and Musk’s leadership creates asymmetric upside that few other investments can match.
For Baron Capital’s clients and long-term Tesla and SpaceX shareholders alike, the investor’s latest CNBC remarks serve as both validation and a call to remain patient through the inevitable ups and downs. As Baron sees it, the best days for both companies—and the returns they can deliver—are still ahead.
Elon Musk
Trump’s invite for Elon just reshuffled Tesla’s big Signature Delivery Event
Tesla rescheduled its final Model S farewell to May 20 after Musk joined Trump in China.
Tesla has rescheduled its Model S and Model X Signature Edition delivery event to Wednesday, May 20, 2026, after abruptly calling off the original May 12 celebration. The event will take place at Tesla’s factory at 45500 Fremont Boulevard in Fremont, California, the same location where the Model S first rolled off the line in 2012. Invitees received a follow-up email asking them to reconfirm attendance and download a new QR code ticket, with Tesla noting that all travel and accommodation expenses remain the buyer’s responsibility.
The reason behind the original cancellation came into focus the same day it was announced. President Trump invited Elon Musk, Apple’s Tim Cook, BlackRock’s Larry Fink, Boeing’s Kelly Ortberg, and executives from Goldman Sachs, Blackstone, Citigroup, and Meta to join his trip to China this week for a summit with President Xi Jinping. The agenda covers trade, artificial intelligence, export controls, Taiwan, and the Iran war, following weeks of escalating friction between Washington and Beijing over AI technology, sanctions, and rare earth exports. Trump wrote on Truth Social, “I am very much looking forward to my trip to China, an amazing Country, with a Leader, President Xi, respected by all.”
Tesla launches 200mph Model S “Gold” Signature in invite-only purchase
The vehicles at the center of all this are the last Model S and Model X units Tesla will ever build. Priced at $159,420 each, the 250 Model S and 100 Model X Signature Edition units come finished in Garnet Red with a one-year no-resale agreement, giving Tesla right of first refusal if the owner decides to sell. As Teslarati reported, the Model S defined Tesla’s early identity as a serious luxury automaker, and the Fremont factory line that built it is now being converted to manufacture Optimus humanoid robots.
Musk’s inclusion in the China delegation drew attention given his very public relationship with Trump, and the invitation signals the two have moved past and past grievances. Trump originally brought Musk on to lead the Department of Government Efficiency following his inauguration, and despite a sharp public dispute in mid-2025, the two have appeared together repeatedly in recent months. A seat on the China trip, the most diplomatically consequential visit of Trump’s current term, puts Musk back at the table on U.S. economic policy at a moment when Tesla’s China revenue remains one of the company’s most important financial pillars.
Tesla is making sweeping improvements to Robotaxi
Starship V3 is here putting SpaceX closer to Mars than it has ever been
