Tesla Hits a Speed Bump - Time To Hit Buy?

Let’s be real - Tesla’s Q1 earnings weren’t pretty. Let's dive into it!

Let’s be real - [Tesla]( Q1 earnings weren’t pretty. Net income dropped 71%, they missed on earnings expectations, and the political drama surrounding Elon Musk? Yeah, that didn’t help either. But here’s the thing: I’m not worried. Not one bit.

Let's dive into the numbers:

• Net income fell 71%
• Car sales dropped 20%
• Global deliveries down 13%
• They missed earnings expectations (27¢ vs 41¢ expected)
• And yeah—revenue is down 9% YoY

On the surface, it looks ugly. You’ve got political backlash, factory slowdowns, and Musk catching heat for his new role in the Trump administration (he’s now leading the "Department of Government Efficiency"... wild, right?). Protests, vandalism, even boycotts in Europe—it’s all hitting the stock hard.

But here’s what I want new investors to understand:

• This Is Exactly When Long-Term Investors Pay Attention.

I bought the dip in March at $230. If Tesla drops under $200? I’m buying more. Why? Because I’m not investing in headlines. I’m investing in disruption. Yes, the auto side of the business is struggling short-term, no denying that. But let’s zoom out. Tesla isn’t just a car company anymore.

Bright Spots Most People Are Missing While everyone’s busy panicking over quarterly profits, here’s what’s going right:

✅ Tesla’s energy business grew 67% last quarter

✅ Their software + subscription services are growing double-digits

✅ They earned $595 million from carbon credits alone

✅ Robotaxis are coming—first launch set for Austin this June

✅ A cheaper Cybertruck and affordable Model Y are on the way

This is Tesla expanding into the future—not retreating from it. Elon has even said Tesla’s AI and autonomous tech are the company’s true growth engine moving forward.

What’s Weighing Them Down

• So what’s dragging the numbers?
• Trade tariffs (25%) are raising costs
• Supply chain stress from shifting global policies
• Customers pausing purchases, waiting for new refreshed models
• Political heat on Elon Musk leading to brand backlash
• Major delivery drops in China (-22%), Germany (-62%), and even California
• All of that combined created a tough Q1, no doubt.
• Tesla’s operating margin shrank to just 2.1%, down from 5.5% a year ago.

My Take: Volatility = Opportunity

• I get it, if you’re new to investing, headlines like these can shake you. But this is where experience kicks in.
• Tesla is still one of our Top 10 stocks of the year, and for good reason. The innovation, the infrastructure, and the roadmap are all still there. The dip? It’s just a detour.
• Markets move fast. Sentiment swings harder. But value doesn’t disappear just because the media gets loud.

TL;DR (Too Long? Read this part.)

• Tesla's earnings were rough.
• Their energy and software businesses are quietly booming.
• Musk’s politics are creating noise—but not killing innovation.
• Robotaxis, cheaper EVs, and AI expansion are all in motion.

My Long-Term Investment Strategy (Simplified):

I keep it structured and strategic - every time SPY or a stock I am invested drops -10%, I dollar-cost average (DCA) into my positions.

• March: Bought during the -10% correction in SPY & QQQ
• April: Loaded up again when the market hit -20% (bear territory)
• Next move? If we drop to -30%, I buy more. (-40%? You bet yourself I am buying even more)

This isn’t guesswork—it’s disciplined, tactical investing. Stick to the plan, stay in the game. Historically, if you bought ONLY during every bear market - you were green on average within 6 or 7 months. The longest it took to get out of the bear market? About 18 months, I can live with that.

I’m buying dips, not selling fear.

Short-term pain = long-term gain (for those who can see the bigger picture).