Tesla Inc. (NASDAQ: TSLA) the EV-maker giant has always been the biggest rival to any other EV or automotive company. Now, since the year, 2021, is coming to an end it’s time to know what all did it achieve or lose in the year 2021. Moreover, Elon Musk, its CEO has always affected the working of the EV-giant. Therefore, here is a recap of major events that took place this year.
Tesla Stock’s Rollercoaster Ride
When EV stocks are talked about, Tesla surely is on number 1. But how did it perform during the year is a question. Moreover, there were several ‘red’ days in the stock market which have been a obstacle for the company’s shares. However, it is still believed that TSLA stock is a proper growth stock. Hope this statement never falls false.
The stock has surged manifold since the beginning of the year. The growth wasn’t at once but gradual. The shares were valued at 729.77 on January 4, 2021. That day itself the stock gained about 10 points compared to its opening price. However, the stock lost considerable value in the following months and closed at $678.9 on July 2, 2021. Thus, it fell by 6.9%. Even though the drop percentage is less, it lost more than 50 points.
In contrast, the stock not only rebounded but also gained substantially. The share price for TSLA for the first time crossed $1,000 mark on October 25, 2021. On that date the closing price was $1024.86 and it had opened at $950.53. Therefore, during the trading session it gained more than 50 points and established another milestone. Since then the stock price has always been more than $1,000.
The highest value that the stock reached this year was $1,243.49. However, the share prices have considerably fallen. It closed at $1070.34 on December 30, 2021, thereby losing 173.15 (down by 13.9%). Moreover, yesterday the stock closed 1.46%, dipping by more than 15 points. It was also in the ‘red’ during the pre-market hours. The company’s valuation is $1.05 trillion currently.
Elon Musk and Tesla Shares
By December 22, 2021, Tesla CEO Elon Musk has sold enough shares to reduce 10% of his stake in Tesla Inc., he mentioned in an interview. “I sold stock that should roughly make my total Tesla share sale roughly 10%,” Musk said to the satirical website Babylon Bee.
Tesla CEO has been selling off his stake in the tech-giant company since November after a poll on Twitter about the sell-off. He took such a move in order to fund an anticipated tax bill of about $10 billion on stock options is due to Musk.
Earlier, on November 11, 2021, he sold 5 billion tesla stocks late Wednesday. According to a report released on Wednesday by the SEC, the Tesla CEO sold about 934,000 shares for just over $1.1 billion after exercising options to acquire nearly 2.2 million shares.
Tesla stock had gained 3.27% pre-market and priced at $938.53, up more than 30 points at 8:54 a.m. ET on December 22, 2021. The market capitalization fell from more than $1 trillion to $942.5 billion. While, its stock market competitors like Apple gained more than $3 trillion market valuation and became the first company to do that.
Tesla’s Financial Performance
Tesla’s total revenue grew 74% year-over-year in the first quarter of FY21. This was primarily achieved through substantial growth in vehicle deliveries, as well as growth in other parts of the business. At the same time, vehicle ASP declined by 13% year-over-year as Model S and Model X deliveries reduced in Q1 due to the product updates and as lower ASP China-made vehicles became a larger percentage of our mix. The total deliveries for the quarter were of 184,877 units, up by 109% year-over-year. Moreover, the overall production was of 180,338 units, 76% more than that of Q1 FY2020. The EPS was $0.39, which saw a whopping increase of 1,850% year-over-year.
Total revenue for the second quarter of FY21 was $11.9 billion, up by 98% year-over-year. The reported EPS (GAAP) was $1.02 and rose by a massive 920% from that of FY20.
The Key highlights for the quarter were:-
- Operating cash flow less capex (free cash flow) of $619 million in Q2
- Net debt and finance lease repayments of $1.6 billion in Q2
- In total, $912 million decrease in their cash and cash equivalents in Q2 to $16.2 billion
- Record vehicle production and deliveries in Q2
- Successful launch of FSD subscription in July
- Started delivering the new Model S to customers
- $1.3 billion GAAP operating income; 11.0% operating margin in Q2
- $1.1 billion GAAP net income; $1.6 billion non-GAAP net income (ex-SBC1) in Q2
- 28.4% GAAP Automotive gross margin (25.8% ex-credits) in Q2
Total revenue for the second quarter of FY21 was $13.7 billion, up by 57% year-over-year. The reported EPS (GAAP) was $1.44 and rose by a massive 433% from that of FY20.
The Key highlights for the quarter were:-
- Operating cash flow less capex (free cash flow) of $1.3 billion in Q3.
- Net debt and finance lease repayments of $1.5 billion in Q3.
- In total, $164 million decrease in our cash and cash equivalents in Q3 to $16.1 billion.
- Record vehicle production and deliveries in Q3.
- Started roll out of FSD City Streets Beta to a wider population in October.
- $2.0 billion GAAP operating income; 14.6% operating margin in Q3.
- $1.6 billion GAAP net income; $2.1B non-GAAP net income (ex-SBC1) in Q3.
- 30.5% GAAP Automotive gross margin (28.8% ex-credits) in Q3.
Company Profile
Tesla Inc. Is an American electric vehicle maker headed by Elon Musk, its CEO. The company has always pledged to work with clean energy and improve the vehicle standards globally. It is the largest competitor for any other EV- maker like Lucid Motors or Rivian. Moreover, it also harnesses solar energy for charging its car batteries. The company operates in Austin, Texas, and the United States. It is currently the most valuable vehicle manufacturer with a market capitalization of more than $1 trillion.
