Tesla soars 7% after crushing delivery and production numbers
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How will Tesla (NASDAQ:TSLA) fare in 2021? Well, the latest blowout numbers from the company sent its stock up 7% premarket to $1,130, before the first trading day of the year. The high-flying EV maker set records for both production and delivery in 2021, topping its own annual estimates. "This was a 'trophy case' quarter for Musk & Co. with massive momentum moving into 2022," tweeted Wedbush analyst Daniel Ives, while Musk added, "Let's make the roaring 20's happen!"


By the numbers: Tesla (TSLA) delivered more than 308K vehicles in Q4, which is 40K more than the average Wall Street estimate. It also delivered more than 936K vehicles over the entire 2021, which is almost double 2020's totals. In terms of output, about 306K new vehicles rolled off its production lines in Q4, or 68K more than the preceding three months, notching a new record for volume in the final quarter.
The numbers are even all the more impressive given the supply chain problems that have roiled the auto industry during the pandemic. Tesla (TSLA) was able to scale vehicle deliveries by ramping up production at its first overseas factory in Shanghai, leaning on in-house software engineering, as well as making changes to the cars it produces in Fremont, California (e.g. removing radar sensors from Model 3 and Model Y vehicles in North America). With Giga Berlin and Giga Texas due to start increasing production this year, Wall Street is predicting another leap in sales, with deliveries expected to reach 1.42M in 2022.

Outlook: It's not just a significant milestone for Tesla (TSLA), but for the entire electric vehicle industry as a whole. Demand for EVs is getting stronger, and while Tesla (TSLA) is leading the pack - with an edge in scale, margins and technology - competition may be in the rear-view mirror. In some areas, like pickup trucks, Tesla (TSLA) is also lagging rivals. The company will get its Cybertruck on the road after other competitors, like Rivian's (NASDAQ:RIVN) R1T and Ford's (NYSE:F) electric F-150 Lightning, though it remains to be seen if those challengers will be able to scale their production.