Hyperdrive
Tesla’s Surprise Profit Fails to Allay Analysts’ Restart Worries
- China demand is bright spot, but U.S. production constrained
- Stock gains in pre-market having already risen 90% in 2020
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Tesla Inc. shares jumped 9% in pre-market trading after the U.S. electric carmaker reported a surprise quarterly profit, though analyst views on the report were mixed.
The company is seeing strong demand in China, but faces uncertainty over the timing of a restart to production in Fremont, California after restrictions were imposed due to the coronavirus. The period may have also benefited from temporarily low capital expenditure.