As Tesla earnings approach, Musk faces pressure to deliver

What we're watching: Much of the focus on the earnings report and conference call will be on the recent launch of the company's long-anticipated robotaxi service in Austin, Texas.

• Investors will be awaiting initial reports on how the robotaxi network is operating and what Musk says about the timeline for accelerating the rollout.

Yes, but: The automaker can't afford a sharp drop in EV sales — that revenue is essential to bankroll its robotaxi and humanoid robot ambitions.

• The company makes the four most-American-made vehicles on the market, according to a Cars.com study, but it's still exposed to tariffs — in large part due to its battery supply chain.
• "The exposure to tariff[s] is not insignificant," writes Bank of America analyst Federico Merendi. "Tesla relies on batteries made in China."

What they're saying: "While near-term and this quarter the numbers are nothing to write home about, we believe investors are instead focused on the AI future at Tesla with a motivated Musk back driving Tesla's future," writes Tesla bull and Wedbush Securities analyst Dan Ives.