Tesla Shares Dip 3% After Quarter Beats Delivery Estimates

Tesla delivered 480,126 vehicles worldwide in the second quarter, above analyst estimates of roughly 409,000 and the company’s guidance near 406,000. Deliveries rose 25% year over year. The stock fell nearly 3% after a recent rally that had lifted shares about 11% over the prior five trading days.

Most of the volume came from the Model 3 and Model Y, which together accounted for 467,762 deliveries in the quarter.

Tesla’s Shanghai factory showed continued momentum. In June, deliveries of Model 3 and Model Y built in Shanghai reached 89,091 units, a 24.4% increase from the same month a year earlier. For the quarter, combined China sales and exports from the Shanghai plant rose 32.8% compared with the same period last year.

Tesla reported energy storage deployments of 13.5 gigawatt-hours in the quarter, up from both a year earlier and the previous quarter. That figure was slightly below analyst expectations of about 13.8 GWh. The company will report full second-quarter results on July 22, when investors expect more detail on margins, costs and profitability.

Regulators closed two investigations this week. The National Highway Traffic Safety Administration ended a preliminary evaluation opened in 2022 covering about 695,000 Model 3 and Model Y vehicles over reports of unexpected deceleration, citing a low demonstrated hazard and a sharp decline in incident reports after software updates introduced in early 2022. Reported incidents fell from roughly 300 at the start of the probe to 45 in 2024, 19 in 2025 and three so far in 2026. The agency also closed an expanded investigation covering an estimated 376,241 vehicles over concerns about loss of steering control.

The company plans to invest more than $25 billion this year, roughly three times its spending last year, to expand manufacturing capacity and to develop autonomous driving, artificial intelligence and robotics projects, including the Cybercab autonomous vehicle platform and the Optimus humanoid robot program. Investors and analysts are watching how Tesla will balance cash generation from vehicle sales with the increased spending on these initiatives.