Tesla reported ‘big miss’ in energy storage, says William Blair

William Blair says Tesla’s (TSLA) Q1 deliveries of 358,023 came in slightly below consensus expectations. The Model 3 and Y miss was slightly offset by better sales in S and X, which were driven by last-chance purchases before the models are sun-setted, the analyst tells investors in a research note. Blair is “not surprised” by the report, saying global electric vehicle demand excluding China remains under pressure, and Tesla is “actively sacrificing its EV business in favor of a fully autonomous future.” Energy storage deployments of 8.8 GWh is a “big miss,” well below the Street’s 14.4 GWh expectation, adds Blair. The firm says that while the business “can be lumpy” and swing depending on customer grid hook-up timing, this does not fully explain the drop-off. William Blair has a Market Perform rating on Tesla. The stock in morning trading is down 4% to $366.51.

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