Tesla Q3 Earnings Fall Short Amid Musk’s Pay Package Controversy
Tesla's third-quarter earnings missed analyst expectations as CEO Elon Musk sparred with critics over his contested $1 trillion compensation package. Adjusted earnings came in at 50 cents per share, below the 54-cent consensus, though revenue surged to $28.1 billion—beating forecasts of $26.37 billion.
The earnings call took a contentious turn when Musk diverted from financials to tout futuristic projects like AI, humanoid robots, and self-driving technology. His remarks overshadowed concerning trends in Tesla's Core automotive business, which saw just a 6% year-over-year revenue increase to $21.2 billion—boosted largely by expiring EV tax credits.
Analysts remain skeptical. Wells Fargo's Colin Langan maintained an underweight rating with a $120 price target, warning of deteriorating fundamentals despite Musk's ambitious 2026 projections for robotaxis and semi-truck production.
