Tesla (TSLA) shares recorded their worst weekly performance since 2022, falling nearly 18% last week and closing at $313.03. This decline followed the release of the second-quarter financial report. The company's revenue grew by 26% to $28.24 billion, but earnings per share ($0.33) fell short of analysts' expectations ($0.51), and the operating margin decreased to 1.4%. Additionally, a 142% increase in capital expenditures for AI projects, the Optimus robot, and robotaxi led to negative free cash flow. Technically, breaking the support level at $350 and exiting the downward channel indicates a next target of $296. If this level is lost, a drop to $260 is possible. Conversely, a price recovery above $350 could invalidate the bearish scenario. Some analysts are optimistic about Tesla's long-term investments in AI, but there is disagreement regarding the current valuation of the stock.
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