Tesla’s after-hours stock drop in the wake on Wednesday could simply reflect that “traders found no immediate catalysts in the lackluster earnings report to push the name towards fresh highs,” according to Jake Behan, the head of capital markets at Direxion.
He thinks this quarter could represent a pivot point for Tesla, which is seeing challenges in its electric-vehicle business but positive trends in the energy business.
“Energy storage looks to be the lone highlight this quarter,” Behan said in emailed comments. “It’s the corner of the business with momentum tailwinds, backdropped by AI’s insatiable appetite for energy.”
