Investor's Corner
Tesla (TSLA) analyst cut off in Q1 earnings call reaches out to Elon Musk
Tesla stock (NASDAQ:TSLA) continues to recover since nosediving last week, gaining back more than $2 billion of its market cap since Monday. Amidst what appears to be a continuous rise in the electric car maker’s stocks, Joseph Spak, the analyst from RBC Capital Markets who Musk cut off during Tesla’s Q1 2018 earnings call, has reached out to the CEO through an open letter.
During the first-quarter earnings call, Spak asked Musk if he could give an idea about the percentage of Model 3 reservation holders who are configuring their vehicles upon receiving their invites. Responding to the question, Musk stated that the questions in the Q&A were “so dry, they’re killing me.” In a series of tweets last Friday, however, Musk admitted that he should have answered the analysts’ questions, even describing his actions as “foolish.”
In an open letter to Elon Musk, RBC analyst Joseph Spak explained the rationale behind his inquiry during the earnings call. Spak also stated that Tesla remains a company that has a “compelling long-term opportunity.” Here are excerpts from Spak’s open letter to Elon Musk, as noted by The Street.
“Tesla remains an amazing company with a compelling long-term opportunity and an incredible list of accomplishments already under its belt. But I continue to hold Tesla (and every company I cover) accountable for implementing a strategic vision that aligns with an ability to execute at scale.
“As an analyst, my responsibility is to be well informed when I discuss Tesla’s stock with current and potential investors. A financial results call is an opportunity for Wall Street to recalibrate our expectations based on the information you provide, so we can thoughtfully reflect on the financial outlook for your company.
“Our questions collectively represent the concerns and interests of your current and potential shareholders. Some of these questions can seem dry, boring or short-term focused, but hopefully, you can appreciate that anyone looking to invest in Tesla’s future must first be comfortable with its present.”
The RBC analyst went on to invite Musk to a webcast or a phone call in order to discuss the company’s current state and ensure that there is no miscommunication between Tesla, its investors, and Wall Street. Spak further stated that all Musk needs to do is “name a time and place,” and he will be there with one of Tesla’s major shareholders.
RBC Capital Markets rates Tesla as sector Perform, with a price target of $280, roughly 7% lower than the stock’s current levels. Spak explained the rationale behind RBC’s stance on TSLA in his note.
“Our sector perform rating is based on our view that while Tesla is a very innovative and disruptive company with strong growth ahead via disrupting large addressable markets, it is also a classic story stock that is difficult to value given that the investment decision is often qualitative rather than quantitative,” Spak wrote.
Elon Musk has been doubling down on his efforts to push Tesla towards profitability by the third or fourth quarter. Apart from predicting the “short burn of the century,” Musk also recently took the fight to Tesla bears, buying nearly $10 million worth of stocks, increasing his stake at the company.
As of writing, TSLA shares are trading up .18% at $302.52 during Monday’s intraday.
Disclosure: I have no ownership in shares of TSLA and have no plans to initiate any positions within 72 hours.
Electric vehicle maker Lucid Group has denied rumors of an imminent bankruptcy after a report from this morning sent the stock on a dramatic drop on Wall Street, seeing losses of more than 40 percent during trading hours.
Lucid’s Director of Communications, Nick Twork, responded to the report from Eletric-Vehicles.com, which stated the company’s restructuring advisor, AlixPartners, was asked to review two decisions: taking Lucid shares private or filing for Chapter 11 bankruptcy protection.
The report also claims AlixPartners told the Lucid board to “concentrate on Gravity production while improving its quality, and to temporarily hold back the Lucid Air, the sedan that has defined the company since its launch.”
Twork said:
$LCID The rumors are completely false. The company has sufficient liquidity to carry its operations well into next year, as recently published in its last quarterly filings, and it has not formed any special Board committee to explore the scenarios reported today. Our focus is…
— Nick Twork (@ntwork) July 14, 2026
Shares rebounded after the response to the report, halving its losses as the trading day neared 3 p.m. Eastern.
Lucid has struggled to get its sales off the ground and into more respectable numbers, but the company is in its early years, when things are hard to begin with. It is also backed by several notable investors, including the Saudi Public Investment Fund (PIF), which has nearly limitless money and likely would not ditch an investment of this size so soon.
Lucid shares were down just 14 percent at the time of publication, a far cry from the 55 percent its losses topped out at during the day.
Tesla received a price target upgrade just on the heels of what was a crazy successful quarter for its automotive business, as the company reported a delivery beat of over 15 percent for Q2.
Jefferies analysts are upping Tesla’s price target (NASDAQ: TSLA) to $400 from $375, while maintaining their “Hold” rating on shares, and the strong automotive deliveries from Q2 is a big reason. However, there are some other catalysts that Jefferies believes position Tesla for a strong position in the second half of the year.
Strong Deliveries
Tesla reported 480,000 deliveries for Q2, while Wall Street was between 395,000 and 405,000, as an overall consensus. It was an incredibly strong quarter from a delivery perspective, and Tesla sold well more than it produced during the three months.
Tesla crushes Wall Street expectations, beats delivery estimates by over 15 percent
While vehicle deliveries are not necessarily looked at in the light that they used to be, Tesla still maintains a lot of advantages for keeping deliveries strong. With the loss of the $7,500 EV Tax Credit last year, Tesla still maintains a strong demand case for its EVs.
Robotaxi Performance
Tesla has been operating Robotaxi for over a year now, as it launched in Austin in mid-2025. That program has expanded to Houston and Dallas, the San Francisco Bay Area, and, most recently, Miami, Florida, the suite’s first appearance in the Sunshine State.
While the Robotaxi suite is still in its early phases and Tesla is working through things like fleet size and wait times, the company has been able to undercut the pricing of its competitors and has a great safety record.
Merger Speculation with Tesla and SpaceX
This is perhaps the biggest topic that many are speaking about with Tesla and SpaceX, and it is the one thing that seems to be on the mind of every investor.
Jefferies warns that growing talk of a Tesla-SpaceX merger could cause Tesla stock to trade more like a SpaceX proxy, which may disconnect it from underlying automotive fundamentals. SpaceX has a lot going for it, especially its compute deals that have been widely publicized as of late.
Profitability in New Projects Could Take Some Time
Tesla has a few long-term ventures in the pipeline, most notably the Optimus project and Robotaxi, which is launched but will take several years to expand to a meaningful level that resonates with everyday people.
This is something that investors need to be careful of. Tesla’s projects could take some time to round out, so Jefferies advises that these may carry initial losses, rather than immediate profit. Seasoned Tesla investors have echoed something like this for a long time; they knew going in it would not be an open-and-shut strategy. It was going to take time.
These new projects are no different.
Investor's Corner
NASA taps SpaceX to launch the telescope that could unlock new worlds
NASA’s Roman Space Telescope heads to orbit this August aboard SpaceX’s Falcon Heavy with massive scientific ambitions.
SpaceX is set to play a central role in one of NASA’s most anticipated science missions in years. The company’s Falcon Heavy rocket, currently the most powerful operational launch vehicle in the world, will carry the Nancy Grace Roman Space Telescope into orbit on August 30 from Kennedy Space Center in Florida. Roman is now in final preparations inside the Payload Hazardous Servicing Facility, where on June 26 technicians used a crane to lift the observatory into a specialized stand for fueling and pre-launch testing.
Roman is named after Nancy Grace Roman, NASA’s first chief of astronomy, whose career helped shape how the agency approaches space science.
NASA chose SpaceX Falcon Heavy because of Roman’s needs to reach a specific orbit far from Earth, well beyond where a standard Falcon 9 can deliver it. The Falcon Heavy, which first flew in 2018, has since become NASA’s go-to option for missions that need serious muscle without the cost and complexity of older launch systems.
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Roman will carry a field of view at least 100 times wider than the Hubble Space Telescope, meaning it can photograph enormous swaths of the universe in a single shot rather than the narrow slices Hubble captures. That difference in scale is significant. While Hubble reshaped our understanding of the cosmos over 30 years, Roman is built to work faster and wider, surveying hundreds of millions of galaxies at once.
One of Roman’s most compelling capabilities is its potential to discover and photograph planets orbiting stars outside our solar system, and with enough precision to directly image planets that would otherwise be lost. That means scientists could study the atmosphere and surface characteristics of distant worlds rather than simply confirming they exist. Combined with Roman’s sweeping field of view, the telescope could detect thousands of exoplanets, and some of those planets may be in habitable zones where liquid water could exist. No telescope currently in operation has this level of power and capability. That capability alone could change what we know about other worlds, and perhaps finally answer the question: are we the only intelligent lifeforms in existence?
What Roman actually finds once it reaches orbit is an open question, and that is exactly what makes this launch worth watching.
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