Tesla Could Have Trouble With Earnings. Chinese EV Maker BYD Offers Some Hope.


Source: marketwatch.com marketwatch.com

Key Topics in this News Article:

News Snapshot:

Covid-related production problems and start-up costs at new facilities make Tesla's second-quarter earnings difficult to predict. Chris Delmas / AFP via Getty Images Tesla’ s second-quarter earnings report is due out on July 20. Covid-19 lockdowns in China, which constrained production and added costs, will make the results interesting to say the least. Credit Suisse analyst Dan Levy is worried those lockdowns will pressure Tesla ’s (ticker: TSLA) second-quarter profit margins. It’s a valid concern. But if results at Tesla competitor BYD (1211.Hong Kong) are any indication, things might turn out better than expected. For Tesla, Levy expects gross margins,...