Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Greenlight Capital's Einhorn Questions Tesla Numbers Again

Published 04/30/2020, 11:06 AM
Updated 04/30/2020, 11:07 AM
© Reuters.

By Kim Khan

Investing.com - Hedge fund manager David Einhorn tweeted out Thursday another letter sent to Tesla (NASDAQ:TSLA) CEO Elon Musk questioning the automaker’s financial results.

Greenlight Capital founder Einhorn, who tweeted out a letter in November questioning whether Tesla’s accounts receivable “even exist,” tweeted out another letter today asking for explanations about its auto gross margin reported yesterday.

“This quarter your production was lower and split across two factories, affecting cost absorption, particularly in Fremont,” Einhorn wrote. “Your average selling price was lower. Your mix had fewer high margin models S/X. You ramped up Model Y. Both factories were interrupted driving up costs. And, though you didn’t discuss it, currency should have hit your margin 2-3% compared to last quarter.”

“All of these factors appear to be headwinds to your auto gross margin (excluding Regulatory credit sales) – which barely budged,” he said.

Tesla reported first-quarter auto gross margin of 25.5%, up from 22.5% in the fourth quarter.

Shares of Tesla rose 4.3% in morning trading.

Latest comments

🤣 so long story short he's asking a businessman how he makes money with his business
No, he's raising legitimate queries/concerns re the accuracy of Tesla's books.
Corps are going to falsify earning to keep share price up. House of cards will collapse.
Why bother entertaining losers (Einhorn)? Just ignore naysayers.
the profit can be easily manipulated unlike sales . I bet Tesla report is not good
You guys just have no idea how much sucessful Tesla is in China.
Do you have a feeling on how successful they will be? I haven't been in China since Tesla's early days and that was astonishing.
Short Einhorn is losing his shorts on Tesla, so he spreads FUD without any proof? How surprising...
The burden of proof is on Tesla, a company that repeatedly has lied to consumers and analysts alike. Einhorn is a loser but Elon Musk is a proven liar.
maybe they used the same accountants as these chinese government uses
1) Margins are model Y are higher2) costs associated with china production are much lower, parts and labor are much cheaper. You can not compare fremont cost and margins with chinas.
all fake report. just for manipulate market.
exactly! from where they got there profit! something fishy on the P/L sheet
This boy know his job very well, Elon you should hire me and we will take it to the sky... well he already did that
Don't they have big 6 audited reports? WishyWashy accounting should not exist in multi-billion cap companies. Financial results must be up to date and reliable
q1 is unaudited
Einhorn and all the other shorts have been screaming fraud, manipulation, etc etc for years without any proof, despite Tesla being audited year after year by externals regulators. It's getting old and nobody believes at as you can see in the SP
Kind of starting to get the impression that Tesla is a Ponzi scheme. Then again, it being electric and all, therefore in line with the green agenda, exact figures don't matter.
Not a friend of Tesla. But not a friend of your BS either. Go conspire somewhere els.
I smell investigation
I smell your BS and FUD, nobody believes it anymore
2 smart guys. 1 super rich by using gov. as a piggy bank and the other charging exorbitant fees. Goals.
Trump and Musk should hit the links and laugh over the lies they have convinced people are true.
Accountants at arms.
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.