Wednesday’s After-Hours Insights: Tesla Inc (TSLA), Fitbit Inc (FIT)

U.S. stocks ended mostly lower today, as a pullback in the price of oil weighed on shares of energy companies.

Tesla Inc (NASDAQ:TSLA) shares climbed 3% in after-hours trading Wednesday, after the electric vehicles giant published its fourth-quarter results, posting a loss of $0.69 per share on revenue of $2.28 billion, compared to consensus estimates, which called for a loss of $0.43 per share on revenue of $2.18 billion. In the same period a year ago, the company reported adjusted a net loss of $2.02 on revenues of $1.2 billion. Tesla guided to 47,000 to 50,000 Model S and X units in the first half of 2016, showing vehicle delivery growth of 61% to 71% compared with the same period last year.

We start 2017 well positioned to scale our business significantly. Model S and X net order growth remains strong, as we are continually evolving our products by elevating performance, convenience, and safety. Our Model 3 program is on track to start limited vehicle production in July and to steadily ramp production to exceed 5,000 vehicles per week at some point in the fourth quarter and 10,000 vehicles per week at some point in 2018. To support accelerating vehicle deliveries and maintain our industry-leading customer satisfaction, we are expanding our retail, Supercharger, and service functions.

– Elon Musk, Tesla’s CEO

In addition, Tesla announced on its earnings call that CFO Jason Wheeler has decided to leave the company in April to pursue opportunities in public policy. He’ll be replaced by Deepak Ahuja, who was Tesla’s first CFO when he joined the company in 2010, doing from 15 years of experience at Ford Motor Company.

Out of the 15 analysts polled by TipRanks (in the past 3 months), 5 rate Tesla stock a Buy, 6 rate the stock a Hold and 4 recommend to Sell. With a downside potential of nearly 22%, the stock’s consensus target price stands at $214.55.

Fitbit Inc (NYSE:FIT) shares are trading almost flat at $5.86 in Wednesday’s after-hours trading, after the wearable fitness device maker posted a fourth-quarter net loss of $146.3 million, or a loss of 65 cents per share. In the same period a year ago, the company reported a net income of $64.2 million, or 26 cents per share. Excluding certain items, the company lost 56 cents per share, missing the 50 cent loss that Wall Street analysts had expected. Moreover, revenue fell 19% to $574 million, and below the consensus estimate of $576 million.

Our ten-year history of building this category, coupled with our powerful brand and engaged global community gives us confidence we are making the right investments to support our vision and drive long-term success. We will leverage our leadership position, recently acquired talent and IP, and the valuable data we collect to improve demand and continue to set the pace of innovation for the industry through more personalized experiences, deeper insights and guidance, expansion into new categories and deeper integration within the healthcare system.

– James Park, Fitbit co-founder and CEO

Out of the 11 analysts polled in the past 3 months, one rates Fitbit stock a Buy, eight rate the stock a Hold and three recommend to Sell. With a return  potential of nearly 8%, the stock’s consensus target price stands at $6.33.



Stay Ahead of Everyone Else

Get The Latest Stock News Alerts