TESLA BEATS BUT STOCK FALLS ON GUIDANCE

Tesla reported adjusted earnings of $0.11 a share, beating Bloomberg's consensus for earnings of $0.04 a share and loss of $0.26 a year ago.

Revenue came in at $857.5 million, versus consensus of $813 millin.

Deliveries came in at 7,579. Barclays had forecast 7,546 units. Tesla had guided to 7,500 units.

Q3 deliveries are expected at 9,000. Barclays expected production guidance of 9,200-9,700 units.

Shares are down 2% in after-hours trading.

This is just the 17th quarterly report in the Palo Alto-based firm's history, but few companies' reports are as closely watched. Some have made the case that the entire electric vehicle industry, not to mention the future of solar rooftops, depend on Tesla's success.

Morgan Stanley's Adam Jonas, a Tesla bull, released a note yesterday arguing investors should prepare for a miss on some items, but should nonetheless "prepare to buy the dips."

We're prepared for a weakish 3Q volume guide. Extensive retooling/reconfiguration of the Fremont plant in preparation of higher volume and Model X could create short-term supply constraints that Tesla may want to telegraph into the 3Q volume outlook. While still possible to reiterate its FY14 outlook of 35k units, we believe this will be heavily dependent on a 4Q catch-up. We're at 9,350 Model S in 3Q (vs. 7,725 in 2Q) but are prepared for a number well below 9k.

Barclays also believes delivery guidance could disappoint, but that "momentum still exists in the name in the near-term, driven by positive datapoints around China and Model X."

Earlier today, Tesla and Panasonic confirmed media reports that they'd signed a deal to furnish Tesla's Gigafactory, which aims to double the world's supply of lithium ion batteries by 2020.

Shares were down 2% into Thursday's close.

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