Another “rant” by Tesla CEO Elon Musk could eclipse what is expected to be a great quarter for the electric car maker, one analyst told CNBC on Tuesday.
“My hope is that he’s going to be in apologetic mode,” Romit Shah, senior analyst at Nomura Securities International, said in a “Closing Bell” interview. “Because the outlook for Q3 should be pretty good, and you don’t want an angry rant to overshadow that.”
Tesla is expected to report second-quarter earnings Wednesday after the closing bell. The electric car maker is expected to post earnings of $2.92 a share on revenue of $3.96 billion, according to Thomson Reuters consensus estimates.
During an unusual post-earnings call in May, Musk cut off questioners and at one point dismissed one question from a key analyst as “boring.”
Musk also told analysts that he had no interest in satisfying the interest of day traders and that he “couldn’t care less.” Musk added, “Please sell our stock and don’t buy it.” Musk’s behavior caused Tesla’s stock to fall more than 5 percent and baffled Wall Street analysts.
Shah expects another rant by Musk will not be irreparable for the company but “it would definitely have an impact as we saw last quarter.”
Shah has a Tesla price target of $450. Tesla closed more than 2 percent higher Tuesday at $299.50 a share. Tesla, with a market cap of more than $50 billion, has seen its shares fall 4 percent this year.
Tesla did not immediately respond to CNBC’s request for comment.
Source : CNBC
