Investor's Corner
Tesla Earnings: Wedbush expects AI, EV demand, Presidency to take focus in Q2 call
Tesla Earnings is today, and Wedbush analyst Dan Ives has plenty of expectations for the automaker’s Q2 call.
Tesla beat expectations for deliveries and solidified a solid quarter for the Energy division with its biggest deployment to date, giving it a chance to run on Wall Street as the past month the stock is up over 36 percent.
However, there are plenty of things that need to be talked about on today’s call, especially Artificial Intelligence and Robotaxi, demand for Tesla’s EVs, and potentially some talk on the U.S. Presidential Election. Wedbush expects to hear from CEO Elon Musk on each of these topics:
AI, FSD, and Robotaxi
Wedbush said in a note to investors ahead of the call that there are plenty of things that need to be confronted on the AI, FSD, and Robotaxi subjects.
Tesla and Musk stand to benefit from a Trump presidency, Ives writes, stating that if he were to win another term, regulatory hurdles may be no more than a simple hop instead of a full-fledged jump for the automaker:
“The Street view is also that a Trump White House potential win could help Musk/Tesla on the FSD regulatory path down the road.”
Tesla will also need to bring more closure to investors regarding the delay and new timing of the Robotaxi unveiling event, which was originally scheduled for August 8.
Tesla delayed the event, Musk confirmed earlier this month, as changes to the vehicle needed to be made:
“The Street will be focused on Musk addressing the timing of Robotaxi Day, which appears to have moved from August 8th to early/mid-October. Addressing the delay in Robotaxi Day and the new timing will be important to hear on the conference call as we believe a linchpin to Tesla reaching $1 trillion+ valuation and ultimately higher over the next year is contingent on the AI/FSD story materializing into a monetization path over the coming years.”
Tesla Demand and Margins
Some analysts have already outlined their concern for margins on this call, especially as Tesla continues to spend in order to get the Cybertruck ramped up.
Ives believes Tesla should “march towards 2 million units annual trajectory” as “clear momentum” has pushed the automaker into a strong position moving forward.
He also commented on the “sweet spot” for margins:
“Auto gross margins (ex credits) in the 16.5%-17% range would be the sweet spot and should mark the beginning of an upward climb into the next few quarters as price cuts appear to be mostly done with price increases in some regions/models seen the last few weeks. A major focus of the conference call will be the overall demand environment, China growth in a competitive/price cut backdrop, and the outlook for the rest of the year.”
U.S. Presidential Election
Ives believes Musk will comment on the U.S. Presidential election as the race has major implications not only for Tesla specifically, but for the EV sector in general.
Musk has publicly supported former President Donald Trump, and although rumors of a $45 million a month donation to the Trump campaign circulated, Musk denied the claims.
However, he has stated explicitly that Trump will get his vote in November.
Ives explains the importance of this being talked about during the call this evening:
“We also expect Musk to address the US Presidential Election with his firm backing for Trump and now a Harris nomination likely for the Democrats heading into November. We continue to believe in the scenario of a Trump win this would be negative for the EV industry but positive for Tesla as removing the tax rebates/incentives would give Musk and Tesla an advantage. The Street view is also that a Trump White House potential win could help Musk/Tesla on the FSD regulatory path down the road. On the other hand a Harris ticket would be a positive for Detroit (GM, Ford, Stellantis) and the EV industry and in theory also help Tesla, although this all remains up for debate among investors. We expect Musk to discuss some of his thoughts around this hot button topic on the conference call tomorrow.”
You can read what investors and analysts want to know on the call here:
Tesla Earnings is tomorrow – Here’s what analysts think you should be looking for
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Elon Musk
SpaceX just filed for the IPO everyone was waiting for
SpaceX filed its public S-1, revealing $18.7 billion in revenue and billions in losses.
SpaceX publicly filed its S-1 registration statement with the Securities and Exchange Commission on May 20, 2026, making its financial details available to the public for the first time ahead of what could be the largest IPO in history.
An S-1 is the formal document a company must submit to the SEC before going public. It includes audited financials, risk factors, business descriptions, and how the company plans to use the money it raises. Companies are required to file one before selling shares to the public, and it must be published at least 15 days before the investor roadshow begins. SpaceX had already submitted a confidential draft to the SEC in April, which allowed regulators to review the filing privately before it went public.
The S-1 reveals that SpaceX generated $18.7 billion in consolidated revenue in 2025, driven largely by its Starlink satellite internet division, which posted $11.4 billion in revenue, growing nearly 50% year over year. Despite that growth, the company lost about $4.9 billion in 2025 and has burned through more than $37 billion since its founding.
SpaceX just forced Verizon, AT&T and T-Mobile to team up for the first time in history
A significant portion of those losses trace back to xAI, Elon Musk’s artificial intelligence company, which was recently merged into SpaceX. SpaceX directed roughly 60% of its capital spending in 2025 to its AI division, totaling around $20 billion, yet that division lost billions and grew revenue by only about 22%.
SpaceX plans to list its Class A common stock on Nasdaq under the ticker SPCX, with Goldman Sachs, Morgan Stanley, and Bank of America leading the offering. The dual-class share structure means going public will not meaningfully reduce Musk’s control, as Class B shares he holds carry 10 votes per share compared to one vote for public Class A shares.
The company is targeting a raise of around $75 billion at a valuation of roughly $1.75 trillion, which would make it the largest IPO ever. The investor roadshow is reportedly planned for June 5.
Elon Musk
Tesla ditches India after years of broken promises
Tesla has ditched its plans to build a factory in India after years of failed negotiations.
Tesla’s long-running effort to establish a manufacturing presence in India is officially over. India’s Minister of Heavy Industries H.D. Kumaraswamy confirmed on May 19, 2026 that Tesla has informed authorities it will not proceed with a manufacturing facility in the country.
Tesla first signaled serious interest in India around 2021, when it began hiring local staff and lobbying the Indian government for lower import tariffs. The ask was straightforward: reduce duties enough for Tesla to test the market with imported vehicles before committing capital to a local factory. India’s position was equally firm, with an ask of Tesla to commit to manufacturing first, then receive tariff relief. Neither side moved, and the talks quietly collapsed.
Tesla to open first India experience center in Mumbai on July 15
India had offered a policy that would reduce import duties from 110% down to 15% on EVs priced above $35,000, provided companies committed at least $500 million toward local manufacturing investment within three years. Tesla declined to participate. The tariff standoff was only part of the problem. Analysts pointed to significant gaps in India’s local supply chain, inadequate industrial infrastructure, and a mismatch between Tesla’s premium pricing and the purchasing power of India’s automotive market as additional factors that made the investment difficult to justify.
First signs of an unraveling relationship came in April 2024, when Musk abruptly cancelled a planned trip to India where he was set to meet Prime Minister Modi and announce Tesla’s market entry. By July 2024, Fortune reported that Tesla executives had stopped contacting Indian government officials entirely. The government at that point understood Tesla had capital constraints and no plans to invest.
The more fundamental issue is that Tesla’s existing factories are currently operating at approximately 60% capacity, making a commitment to building new manufacturing capacity in a new market difficult to defend to investors. Tesla will continue selling imported Model Y vehicles through its existing showrooms in Mumbai, Delhi, Gurugram, and Bengaluru, but local production is no longer part of the plan.
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.
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