‘Remain highly cautious’: Here’s what 3 Wall Street analysts expect when Tesla reports 4th-quarter earnings

‘Remain highly cautious’: Here’s what 3 Wall Street analysts expect when Tesla reports 4th-quarter earnings

Tesla is scheduled to report fourth-quarter earnings after the market closes on Wednesday. Even the smallest of misses could weigh on the company's extreme valuation. The automaker's shares surged in 2020 as steady profitability, retail-investor demand, and encouraging analyst upgrades boosted bullishness. The stock notched a 743% return through the year and a 64% gain in the fourth quarter alone. Tesla now trades with a trailing price-to-earnings ratio of more than 1, 600x, making it among the most highly valued stocks in the world. Shares closed at a record-high $880. 80 on Monday. To be sure, quarterly deliveries already beat Wall Street's expectations. Tesla said earlier this month it delivered 180, 570 of its electric vehicles last quarter, bringing its full-year total to 499, 550. CEO Elon Musk previously set a 2020 target of 500, 000 deliveries, and analysts largely praised the company for nearly hitting the lofty goal. Here's what analysts expect from the company's fourth-quarter report, from 2021 delivery guidance to possible model overhauls. While 2020 saw many analysts come around on Tesla and reverse their bearish outlooks, JPMorgan remains skeptical. Better-than-expected deliveries prompted the bank to lift its 2021 and 2022 profit estimates slightly, though the firm