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Tesla shares rebound over 9% from post-earnings pullback

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Tesla (NASDAQ: TSLA) shares rebounded on Monday morning after collapsing late last week following a relatively bullish Earnings Call. The electric automaker’s shares were up over 9% by 1 PM EST.

Last Wednesday, Tesla reported its Earnings for 2021’s Full Year guidance and the year’s final quarter. Tesla reported delivery figures just after the New Year, beating consensus figures by 13 percent and delivering over 936,000 vehicles in 2021 while producing just over 930,000 units.

The Wednesday Earnings Call proved to be more bullish news for investors of Tesla. Musk and Co. reported another Earnings beat with $17.719B in revenues, an improving automotive gross margin, increased free cash flow, and an impressive $2.54 EPS. Wall Street expected $16.65B in revenues, with an EPS of $2.35. Despite the record-setting quarter, Tesla shares dropped sharply last week on Thursday and Friday, contributing to a significant slide in the tech sector as the market continued to experience a blunt selloff.

Shares were down 9.89 percent from Wednesday’s close to Friday’s close.

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Tesla has not experienced positive days following Earnings Calls, even when profitability has become a regular expectation for the electric automaker’s quarterly calls. Past post-EC trading days have treated Tesla investors with the perfect inner struggle: Buy more or keep what I have?

Despite Tesla’s strong financials for Q4, it seemed the market responded to Musk’s quotations regarding Tesla’s future lineup. During the call, the CEO detailed that Tesla would not introduce any new vehicle models this year, putting an end to the speculation of a possible $25,000 Tesla or the arrival of the Cybertruck, which people have waited over two years to own.

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“This lack of product is really weird,” John Murphy, a Bank of America analyst with a $1,300 price target on Tesla, said. We estimate it’s going to be 29 other EV models launched in the market. So the market is coming for him, and when we look at market share going forward, he’s going to lose a lot of market share. We can get into specific numbers, but we expect he is going to lose about 50 points of market share in the EV market over the next three to four years,” he said on CNBC.

Tesla CEO Elon Musk said the $25,000 Tesla wouldn’t be coming this year. (Credit: Alwinart/Twitter)

While other companies do, in fact, have new products coming to the market, the expectation is that consumers will go to whatever car is most desirable. From Tesla’s perspective, their multiple-year lead in software, EV infrastructure, batteries, and manufacturing, may give them peace of mind in knowing that there will be no more new car models this year. Why continue to expand the lineup when the current one is selling, and selling a lot. The Model 3 was Europe’s best-selling EV, and Tesla sold more EVs globally in 2021 than any other company. They may be one of the few companies to have a fully-committed business model that only builds EVs and can do it in massive numbers, but people need cars now, and Teslas may be the most desirable EVs on the market. The question is, when are the other companies going to catch up and compete?

The lack of a “Product Roadmap” update may have culminated in some losses, but not the 10 percent drop-off in stock that is being canceled out this morning. Nevertheless, Tesla shares are on their way back up, along with many others in the auto industry, including Ford (NYSE: F), which gained nearly 4% at the time of writing, and Rivian (NASDAQ: RIVN) up almost 12%.

Disclosure: Joey Klender is a TSLA Shareholder. He does not own shares of Ford or Rivian, which were also mentioned in this article.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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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.

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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.

Celebrating SpaceX’s Falcon Heavy Tesla Roadster launch, seven years later (Op-Ed)

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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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California snubs Tesla in its newly passed EV incentive that favors Rivian and Lucid

California passed a $135 million EV incentive that rewards Rivian and Lucid while sidelining Tesla

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California just drew a line in the EV incentive sand to put Tesla on the wrong side of it. The state recently passed a $135 million program offering first-time electric vehicle buyers a direct incentive with no application required, but the rules were written in a way that leaves Tesla at a structural disadvantage compared to Rivian and Lucid.

The program caps eligible vehicles at $50,000 for new EVs and $25,000 for used ones. That pricing threshold rules out a significant portion of Tesla’s lineup, though some lower-priced Model 3 and Model Y configurations would still qualify. California-based automakers are exempt from the price cap entirely, regardless of what their vehicles cost. Rivian, headquartered in Irvine, and Lucid, based in the San Francisco Bay Area, both benefit from that exemption. Rivian’s R2 starts at roughly $45,000 but has versions above the cap. Lucid’s Air and Gravity start at $70,990 and $79,990 respectively, well above any threshold a non-California company would face.

California hits Tesla Cybercab and Robotaxi driverless cars with new law

Tesla built its reputation and a significant portion of its early market share in California, where EV adoption has consistently led the nation. The company operates its original factory in Fremont, California, and the state was home to Tesla’s headquarters for most of its existence. That changed in 2021 when Tesla moved its corporate headquarters to Austin, Texas. Since then, the relationship between the company and California Governor Gavin Newsom has been openly adversarial, with Musk and Newsom trading public criticism on multiple occasions.

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California’s EV incentive landscape has shifted repeatedly in recent years, and Tesla has previously lost eligibility for state-level programs as its vehicles exceeded income-adjusted price thresholds. The federal $7,500 EV tax credit, which Tesla models have qualified for and lost depending on policy cycles, is no longer available after it expired without renewal, making state-level programs more meaningful to buyers than they have been in years.

The practical impact for buyers is more nuanced than the headline suggests. California residents purchasing a Tesla under $50,000 for the first time can still access the incentive. But the exemption written for California-based manufacturers is a structural advantage that rewards where a company plants its headquarters flag rather than where it builds its products, and Tesla moved that flag to Texas.

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SpaceX’s newest logo confirms everything about what it’s become

SpaceX officially absorbed xAI under the SpaceXAI brand, completing the largest private merger in history.

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SpaceX made its corporate transformation official in May 2026 when Elon Musk posted on X that xAI would cease to exist as a standalone company. “xAI will be dissolved as a separate company, so it will just be SpaceXAI, the AI products from SpaceX,” he wrote.

A new SpaceXAI logo was announced today, visually embedding the xAI letters inside the SpaceX identity, which can be seen as a deliberate design choice that signals the merger is not a partnership but a full absorption and XAi a core function of the same company. The same way Starlink is not a separate brand but a SpaceX product. The announcement closed the loop on a process that began February 2, 2026, when SpaceX acquired xAI in the largest private merger in history, valued at $1.25 trillion. SpaceX at $1 trillion and xAI at $250 billion.


The reason SpaceX bought xAI was stated plainly by Musk at the time of the deal: to build orbital data centers. SpaceX had simultaneously filed with the FCC to launch up to one million satellites designed to function as AI compute nodes in low Earth orbit, escaping what Musk described as the energy constraints limiting AI development on Earth.

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xAI provided the AI software stack, with Grok, the X platform, and the Colossus supercomputer infrastructure in Memphis with over 220,000 NVIDIA GPUs, while SpaceX provided the rockets, Starlink, and the capital base to fund it. The two companies needed each other. xAI was burning $2.5 billion in losses on $250 million in revenue. SpaceX was generating an estimated $8 billion in profit on $15 billion in revenue and needed an AI narrative to command the valuation it was targeting for its IPO.

SpaceXAI just launched into your kitchen with their new app

What SpaceX has done, regardless of how the orbital AI vision ultimately plays out, is walk into a public market as something no company has been before: a rocket manufacturer, satellite internet provider, AI software company, social media platform, and supercomputer operator under one ticker. Whether that combination is worth $2 trillion depends entirely on which of those businesses you believe in most.

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