FREMONT, California – Investors saw Tesla stock surging on Thursday following a positive reaction to the company’s mixed third-quarter earnings results. Despite revenue slightly lower than expected, Tesla’s stock soared nearly 22%, adding significant value to the company in its best trading day since 2013. The surge came as investors cheered on the beats in adjusted earnings per share, higher gross margins, and the announcement that Tesla’s more affordable electric vehicle is on track for production next year. CEO Elon Musk’s optimistic projection of 20%-30% volume growth for the upcoming year also contributed to the positive momentum of the stock.

Tesla reported revenue of $25.18 billion for the quarter, which surpassed the figure from the year-ago period. Adjusted earnings per share also exceeded expectations, reaching $0.72 compared to the anticipated $0.60, demonstrating the company’s financial strength. The gross margin figure of 19.8%, significantly higher than expected, further underscored Tesla’s solid performance during the quarter.

In its earnings report, Tesla highlighted the successful growth in vehicle deliveries, with record third-quarter volumes. The company emphasized its ongoing preparations for the launch of new vehicles, including more affordable models set to debut in the first half of 2025. Despite some missed expectations earlier in the quarter, Tesla managed to deliver 462,890 vehicles in Q3, marking its first quarter of delivery growth for the year.

Looking ahead, Tesla expressed optimism about continued growth, projecting “slight growth” in vehicle deliveries for 2024. CEO Elon Musk hinted at the possibility of achieving 20%-30% growth in the following year, although he cautioned that it was only a “best guess.” The company’s Energy Generation and Storage business also saw impressive results in Q3, with a record gross margin of 30.5% and expectations for further growth in the coming years.

As Tesla continues to innovate and expand its product offerings, investors and analysts eagerly await updates on the development of new vehicles, including the anticipated Model 2. Despite some initial market fluctuations following Tesla’s recent announcements, the company remains focused on its long-term goals, aiming to revolutionize the electric vehicle industry and drive sustainable growth.

Overall, Tesla’s strong performance in the third quarter has instilled confidence in investors, driving the stock price to new heights. With a clear vision for the future and a track record of innovation, Tesla is poised to maintain its position as a leader in the electric vehicle market, setting the stage for continued success in the years to come.