Tesla Just Had Its Worst 4Mo Red Combo. Nightmare, or a Chance?!

Tesla's stock just had its worst week of 2023, plunging 16% on Elon Musk's earnings-call nightmare.

Tesla TSLA shares plunged 16% over the five-day stretch ending October 20, as disappointing third-quarter earnings and a disastrous call led by CEO Elon Musk sparked a sell-off.

The nightmarish week wiped nearly $130 million off the EV maker's total market capitalization. while Musk's own personal fortune declined by around $30 billion, according to the Bloomberg Billionaires Index.

The stock is still up appr. 80% year-to-date, but has given up some of its gains over the past few months with the early-2023 hype around AI fading and investors starting to fret about the impact of higher interest rates.

Last Wednesday, on Oct 18, 2023 Tesla reported quarterly earnings that fell well short of Wall Street's expectations. The company posted adjusted earnings-per-share of $0.66, missing the consensus estimate of $0.74, and also underperformed analysts' revenue forecasts.

Musk then said in a post-earnings call that Tesla had likely "dug own grave with the Cybertruck" due to enormous production challenges, and warned of several economic headwinds that could drag on demand.

Tesla just had its worst 4-months Red Combo since June 2023, while Tesla stocks price fading after that within four months in a row, from July till October (in this time).

Sure we can call this performance like a "mini-disaster", but still it's too early to say that world's richest man became a "little baby" who is "fully in tears".

Meanwhile strong and powerful technical analysis says that the carmaker's hellish string isn't a bad one, while buyout things right here to come.

Tesla stocks were doing well in June 2023, where bearish hugs and weekly SMA (52) were broken, so I have to say, there is almost no hellish right here, just a technical confirmation of reversal that has happened several months ago in 2023.

Tech graph below is a long-term view, with further updates on monthly/ quarterly basis.


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