TSLA Stock Trades in a Wide Range After Tesla Earnings as Investors Weigh 2026 Autonomy Plans
TSLA stock turned choppy in late trading Wednesday after Tesla earnings for the fourth quarter and full year 2025 landed, putting the spotlight back on deliveries, the fast-growing energy business, and the company’s push into autonomy, robotics, and software. Tesla stock price hovered around $431 in after-hours trading by about 5:10 p.m. ET, after swinging between roughly $425 and $448 earlier in the session.
The results arrived after the closing bell on Wednesday, Jan. 28, 2026, with Tesla also holding its Tesla earnings call and Q&A webcast later in the evening. Traders had been bracing for a notable post-report move, and early price action reflected the market’s sensitivity to guidance and forward-looking commentary.
Tesla earnings snapshot: revenue dips, energy grows, deliveries fall
Tesla reported fourth-quarter revenue of $24.9 billion, down 3% year over year. Automotive revenue was $17.7 billion, down 11%, while energy generation and storage revenue rose 25% to $3.84 billion and services and other revenue increased 18% to $3.37 billion.
On profitability, Tesla posted GAAP net income of about $0.84 billion for the quarter, with GAAP diluted EPS of $0.24. On a non-GAAP basis, diluted EPS was $0.50. Free cash flow was about $1.4 billion in the quarter, and cash plus investments ended the year at about $44.1 billion.
Operationally, Tesla delivered 418,227 vehicles in the quarter, down 16% year over year, and delivered 1,636,129 vehicles for full-year 2025, down 9% from 2024. Energy storage deployments were a standout: 14.2 GWh in the quarter and 46.7 GWh for the year.
What the Tesla earnings call put on the table for 2026
Much of the investor debate around TSLA earnings is shifting from near-term vehicle volume to the pace of software and fleet monetization. Tesla said monthly subscriptions to its driver-assistance software continued to grow and that it is transitioning access to monthly subscriptions only as it begins to sunset the up-front payment option.
On autonomy, Tesla said it began testing driverless Robotaxis in Austin in December and started removing the safety monitor from customer rides in January on a limited basis. It also outlined planned Robotaxi expansion targets to several metros in the first half of 2026, while noting that some expansions depend on required permitting. Further specifics were not immediately available.
Tesla also disclosed an agreement dated Jan. 16, 2026 to invest approximately $2 billion to acquire shares of Series E preferred stock of xAI, alongside a framework agreement to evaluate potential AI collaborations. The investment is subject to customary regulatory conditions with an expectation to close in the first quarter of 2026. Key terms have not been disclosed publicly.
How TSLA stock price reacts to earnings
Earnings nights often move tesla stock more because of expectations than because of the headline numbers. The market typically compares reported revenue, margins, earnings per share, and cash flow against what investors were positioned for, then reprices the stock based on forward signals like production plans, cost trends, and updates on high-value bets such as autonomy.
That’s especially true for Tesla, where the long-term story increasingly depends on whether software, services, and fleet-based revenue can scale faster than the pressures hitting the global EV market. A quarter that shows strong cash generation or accelerating energy deployments can cushion a softer delivery print, while vague outlook language can amplify volatility.
Who feels the impact, and the next milestones for TSLA
The immediate impact hits two groups first: shareholders and employees. Retail investors and institutions can see rapid swings in tesla stock price and options premiums around the report, while employees with equity compensation are directly exposed to those moves. Customers and suppliers also watch closely, since shifts in production cadence, pricing strategy, and service capacity can ripple through delivery timelines and parts demand.
Looking ahead, the next concrete milestones include Tesla’s annual regulatory filings for the year ended Dec. 31, 2025 and any formal regulatory updates tied to the planned xAI investment, which Tesla expects to close in Q1 2026. Investors will also watch for further verified operational updates on Robotaxi expansion, and for the next quarterly earnings report later in 2026 as the company’s 2026 production and deployment plans come into sharper focus.
