Elon Musk Discusses Major Issues On Tesla Earnings Call

Elon Musk, speaking during Tesla’s Q3 earnings call, spoke on a wide range of economic issues including Tesla’s performance, his bid to purchase Twitter, and the possibility of a global recession.

“I can’t emphasize enough, we have excellent demand for Q4 and we expect to sell every car that we make for as far into the future as we can see,” Musk said regarding Tesla. “The factories are running at full speed and we’re delivering every car we make, and keeping operating margins strong.”

With renewable energy resources becoming more and more important and the U.S. government offering tax rebates and incentives to purchase electric vehicles, Tesla is positioned well for the future. Tesla reported adjusted earnings of $1.05, higher than the projected $0.99.

While earnings were up, stock prices were down around 5%, below experts’ predictions. Musk said about the company, “I’m of the opinion that we can far exceed Apple’s current market cap. In fact I see a potential path for Tesla to be worth more than Apple and Saudi Aramco combined.”

Musk said that he was “overpaying” for Twitter, but that he is “excited about the Twitter situation.” He continued, “The long-term potential for Twitter is an order of magnitude greater than its current value.”

Some Tesla shareholders asked Musk about the state of the global economy and its impact on business. Musk said, “China is experiencing a recession of sorts” and followed that by saying, “Europe has a recession of sorts driven by energy.”

As far as North America goes, Musk said, “North America’s in pretty good health, although the Fed is raising interest rates more than they should, but I think they’ll eventually realize that and bring them down again.”

Musk, in typical fashion, was optimistic and realistic at the same time while also giving investors a glimpse into Tesla’s upcoming semi-truck and pickup truck offerings. While some think the Twitter deal will not work out the way Musk believes, he is clearly excited about everything that is happening in his companies from SpaceEx to Twitter and everything in between.