US Market

Tesla $TSLA: Why I’m Waiting To Buy Despite The Earnings Beat

Calvin Lo

Tesla (TSLA) closed up close to +10% the day after reporting Q2 2022 earnings, which came as a surprise to me considering the lacklustre response in after hours immediately after earnings release. Seems like many investors/analysts turned more optimistic after digging deeper and digesting the results a bit more.

See my previous post for my thoughts on Tesla’s Q2 earnings here.

See my investment thesis for Tesla here.

Source: Google

Zooming out, over the past year TSLA stock has been on a downtrend but has a chance to reverse into an uptrend. There have been mini-rallies (or bear market rallies) along the way down but all have fizzled out so far. I think this one might be the same especially if macro fears flare up again. At the moment, the macro environment is still cloudy at best with no signs of sunlight shining through yet.

Source: Google

That’s not saying I’m bearish on TSLA, maybe only in the short term with all the macro uncertainties. However, what’s clearer to me from earnings is that Tesla’s underlying business and fundamentals are still strong (as strong as can be reasonably expected with all the sh*t going on). I think Tesla will continue to find solutions to the hardest problems facing mankind including electrification, autonomous driving, AI/robotics or at worst drive the industry to do so. Supply chain is just another problem in which the best problem solvers will prevail.

Personally, I’ve been buying quite a bit of TSLA stock over the past few weeks so I might slow it down a bit since I don’t have much faith in this rally in the coming weeks. My last buy was in early July so I’m trying to wait at least a month before buying more. I was hoping TSLA will drop into the $550-$600 range to ‘back up the truck’, but that seems to be out of play in the immediate future. So, I’ll just default back to a monthly dollar-cost-averaging strategy until I run out of cash.

Source: moomoo app

As usual, opinions from Tesla Daily (Rob Maurer) and Dave Lee on Tesla earnings are a must-watch/listen for TSLA investors. Motley Fool Money podcast also covered it. Linking those here below (for my own future reference too).

Enjoying a Richer Retirement, and an IRA Scam – Motley Fool Money

How does spending change over the course of your life, and why it might mean you could spend more in retirement. Robert Brokamp discusses those topics and more – including why the 4% withdrawal rate is likely too low — with financial planning expert David Blanchett, who is a managing director, portfolio manager, and head of retirement research at PGIM DC Solutions. Also in this episode: -The federal government shutdown will delay the release of many figures important to your finances-A recent New York Times article told the tale of how $120,000 worth investments got illegally transferred out of a victim’s IRA – how to prevent it from happening to you-The percentage of items in the CPI that are experiencing annualized price growth above 3% is on the rise-A recent report estimates that there’s $2.1 trillion in left-behind and forgotten 401(k)s – how to find a long-lost account Host: Robert BrokampGuest: David BlanchettEngineer: Bart Shannon Disclosure: Advertisements are sponsored content and provided for informational purposes only. The Motley Fool and its affiliates (collectively, “TMF”) do not endorse, recommend, or verify the accuracy or completeness of the statements made within advertisements. TMF is not involved in the offer, sale, or solicitation of any securities advertised herein and makes no representations regarding the suitability, or risks associated with any investment opportunity presented. Investors should conduct their own due diligence and consult with legal, tax, and financial advisors before making any investment decisions. TMF assumes no responsibility for any losses or damages arising from this advertisement. We’re committed to transparency: All personal opinions in advertisements from Fools are their own. The product advertised in this episode was loaned to TMF and was returned after a test period or the product advertised in this episode was purchased by TMF. Advertiser has paid for the sponsorship of this episode. Learn more about your ad choices. Visit ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠megaphone.fm/adchoices Learn more about your ad choices. Visit megaphone.fm/adchoices
  1. Enjoying a Richer Retirement, and an IRA Scam
  2. What Can History Teach Us About Investing in 2025?
  3. ETFs are for the Memes (again)
  4. The AI App Store Moment
  5. Tariffs, Social Shopping, and an EV Reset

Are you bullish or bearish on Tesla after Q2 2022 earnings?

Follow me on Facebook, Telegram, Twitter and Youtube.

Disclaimer: This is not financial advice. I am not professional financial advisor nor do I work in the finance industry. Anything I write here is purely my personal opinion. Please do your own research and due diligence before investing into anything. All investments come with associated risks. Best to consult a financial advisor if you’re still unsure.

Download my FREE Ebook: How to Start Investing in Stocks for Beginners

For more investing tips, visit my Guide page.

For more investing resources, see my Referrals page.

Disclosure: This post may contain affiliate links and I may get a commission when you click on the links or open an account through the links, at no additional cost to you. I only recommend products or services that I have personally tried and have found useful.