Tesla (NASDAQ: TSLA) shares rose 9.47% on Monday after a bullish day on Wall Street as trading volume was almost 20% higher before the company’s earnings call for the second 2020 quarter on Wednesday.
Tesla’s trading volume was 17,121,367 on Monday, which was approximately 2.5 million transactions higher than the company’s average daily volume of 14,461,131. The increase in the number of operations could be in preparation for better results than expected for the second quarter of 2020 on Wednesday, where the company would describe its performance during the second three months of the year.
Tesla has already outperformed Wall Street once in terms of second-quarter performance. Analysts suggested that the electric car maker would deliver between 75,000 and 80,000 vehicles during the second quarter of 2020. However, Tesla easily beat Wall Street estimates by delivering 90,650 cars in the second quarter of the year.
The electric car maker’s performance was impressive because the company’s main production facilities in Fremont, California were closed for the first 40 days of the quarter due to the COVID-19 pandemic. Finally, Fremont reopened and began building sustainable electric vehicles again on May 10.
If Tesla manages to exceed the estimates Wall Street has set for the company prior to the Profit Call, traders and shareholders of the electric car maker’s shares could make money by giving up their fist. The increase in earnings that the company has experienced so far during the year is something that the company’s shareholders are familiar with, as TSLA shares have risen around $ 1,213 so far in 2020.
The price increase has explained a growth of almost four times the share value of the electric car maker on January 2, which stood at $ 430.26.
TSLA’s impressive performance in the market has been fueled by several advancements in the company’s technology infrastructure, as well as several improvements in battery technology. While the company has continued to increase the longevity of the battery packs that power the sustainable vehicles it manufactures in Northern California and Shanghai, Tesla has also offered a series of over-the-air software updates that improve the performance specifications of each vehicle. electric.
Along with a series of advancements in its Full Self-Driving software, Tesla has established itself not only as the leading manufacturer of electric cars, but also as the world’s most valuable car company. After a sudden spike in stock price since early July, Tesla has surpassed Toyota, Volkswagen, and Honda as the world’s most valuable automotive company. Tesla is worth more than the three aforementioned automakers combined.
Tesla’s second-quarter 2020 earnings call will be held on Wednesday, July 22 at 2:30 p.m. PT.
Disclosure: I do not own TSLA shares and I have no plans to start any position within 72 hours.
