NEW YORK — Tesla Inc. shares surged more than 4 percent in morning trading Wednesday, trading near $379 as investors bet on accelerating progress toward robotaxi deployment and artificial intelligence initiatives despite a modest miss on first-quarter vehicle deliveries.
At approximately 10:55 a.m. EDT on April 15, 2026, TSLA stock had risen $15.28, or 4.20 percent, from Tuesday’s close of $364.20. The electric vehicle maker’s market capitalization stood around $1.37 trillion, with shares fluctuating in a 52-week range of roughly $222.79 to $498.83. Year-to-date in 2026 the stock is up about 15 percent but trails the broader market’s gains amid persistent questions over near-term growth.
The rally followed fresh sightings of dozens of Cybercab robotaxis at Giga Texas and optimism around Full Self-Driving software updates, even as the company delivered 358,023 vehicles in the first quarter — below Wall Street expectations of about 365,000 to 370,000. Production reached 408,386 vehicles, creating an inventory buildup of more than 50,000 units.
Model 3 and Model Y accounted for the bulk of output and deliveries, with 341,893 units handed over to customers. Other models, including Cybertruck, delivered 16,130 vehicles. Energy storage deployments hit 8.8 gigawatt-hours, continuing strong growth in Tesla’s battery business, which some analysts now view as the company’s most reliable near-term growth engine.
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Tesla is scheduled to report full first-quarter financial results after the market close on April 22. Analysts will scrutinize margins, which have faced pressure from price cuts and competition, along with any updates on capital spending projected to exceed $20 billion this year to fund AI infrastructure and new product ramps.
Wall Street’s view on Tesla remains divided. Across roughly 40 analysts, the consensus rating is Hold, with an average 12-month price target near $395 to $402, implying modest upside of about 5 to 8 percent from current levels. Bullish targets reach as high as $600 from firms like Wedbush, while bearish calls dip to $25 from GLJ Research, reflecting deep skepticism over valuation.
Bulls highlight Tesla’s pivot toward autonomy and robotics. Production of the steering-wheel-free Cybercab is ramping at Giga Texas, with initial low-volume output underway and expectations for higher volumes later in 2026. Elon Musk has signaled that unsupervised Full Self-Driving could enable widespread robotaxi service across U.S. cities by year-end, potentially transforming Tesla from an automaker into a high-margin technology platform.
Recent FSD version 14.3 updates have shown improved reaction times and behavior, while Tesla continues expanding supervised autonomy approvals internationally, including in Europe. Optimus humanoid robot development is also advancing, with low-volume production of Optimus Gen 3 slated for later this year and high-volume output targeted for 2027 or beyond.
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Energy storage and solar ambitions add another growth layer. Tesla deployed record battery volumes in 2025, and Musk has outlined aggressive plans to scale U.S. solar manufacturing toward 100 gigawatts annually. The Megapack business has delivered consistent revenue growth even as automotive sales faced headwinds from softening EV demand and intense Chinese competition.
Yet challenges persist. Global vehicle deliveries fell in 2025 compared with the prior year, and first-quarter 2026 numbers showed only slight year-over-year improvement. Inventory accumulation raises questions about pricing strategy and demand, particularly for higher-priced models. Regulatory hurdles for unsupervised robotaxis remain significant, and capital expenditures are expected to pressure free cash flow into negative territory this year.
Competition is intensifying on multiple fronts. Traditional automakers and startups are accelerating autonomous vehicle programs, while lower-cost EVs from Chinese manufacturers continue eroding margins in key markets. Tesla’s premium positioning has helped in some regions, with record sales reported in Germany recently, but overall growth has slowed from the explosive rates of earlier years.
The stock’s valuation reflects these tensions. Trading at a trailing price-to-earnings multiple above 300, Tesla commands a premium that assumes successful execution on futuristic bets rather than current auto sales. Forward estimates for 2026 earnings per share hover around $2 to $3 in some models, with revenue projections varying widely depending on robotaxi adoption timelines.
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Retail investors and high-profile holders like Cathie Wood’s ARK Invest have continued buying dips, viewing any weakness as an entry point into what they see as the defining AI and robotics story of the decade. Institutional ownership remains elevated, though some funds have trimmed positions amid volatility.
Musk’s leadership continues to drive both enthusiasm and scrutiny. The CEO has repeatedly emphasized that 2026 will mark a pivotal year for Cybercab production, Optimus scaling and broader robotaxi rollout. He has also pushed for massive investments in AI training compute and energy infrastructure to support these ambitions.
For investors debating buy or sell decisions in 2026, the calculus depends on time horizon and conviction in Tesla’s non-auto businesses. Short-term traders may focus on the April 22 earnings reaction, FSD software milestones and any Cybercab production updates. Longer-term holders are betting that software licensing, robotaxi networks and humanoid robots could eventually dwarf today’s vehicle revenue.
Bears warn that delays in autonomy have been a recurring theme, and that current multiples leave little room for execution shortfalls. If robotaxi rollout disappoints or competition erodes EV market share further, the stock could face renewed pressure toward the lower end of its range.
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Tesla pays no dividend, channeling resources into growth and share-based compensation. Its cash position and access to capital markets provide flexibility, but rising capex and potential negative free cash flow will test balance sheet strength.
As spring advances, attention will turn to summer production ramps, potential cheaper EV model details and international regulatory progress for FSD. Broader economic factors, including interest rates, consumer spending and geopolitical tensions affecting supply chains, could also influence sentiment.
At current levels near $379, Tesla embodies one of the market’s most polarizing names — a legacy EV leader transitioning into an AI and robotics powerhouse. Bulls see asymmetric upside if Musk’s vision materializes, while skeptics view it as richly valued with substantial downside risk.
The coming months will provide critical data points. Strong energy storage results, smoother Cybercab manufacturing and tangible FSD advancements could sustain momentum. Any signs of slowing demand or autonomy delays might trigger volatility reminiscent of past cycles.
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Tesla has defied gravity before, rewarding patient believers through multiple growth chapters. Whether 2026 becomes the breakout year for robotaxis and Optimus — or another period of promise versus delivery — will shape shareholder returns for years to come.
The author has an honours degree in economics and politics with a focus on economic development. With 36 years of experience in executive management he has extensive knowledge of insurance/reinsurance, Global and Asia Pacific markets, climate change and ESG. He invests in his personal capacity.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
The author is not an investment advisor and offers no advice here. He shares his own analysis solely for the interest of readers.
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SYDNEY — Zip Co Ltd shares climbed 7.73 percent to close at A$2.51 on Monday, extending gains for the Australian buy-now-pay-later provider after last week’s strong third-quarter results and an upgraded full-year profit forecast that highlighted accelerating growth in its key U.S. market.
Zip Co Shares Jump 7.73% to $2.51 as Buy Now Pay Later Giant Upgrades FY26 Guidance on Record Profit
The stock added 18 cents in trading on the Australian Securities Exchange, reflecting continued investor enthusiasm following Zip’s April 17 announcement of record cash earnings before tax, depreciation and amortisation. Volume remained elevated as traders digested the company’s improving profitability and strategic momentum amid a recovering fintech sector.
Zip reported a record cash EBTDA of A$65.1 million for the three months ended March 31, 2026, a 41.5 percent increase from the prior corresponding period. Operating margin expanded sharply to 19.4 percent from 16.5 percent a year earlier, demonstrating strong unit economics and operating leverage as the company scales.
Total transaction volume reached A$4.0 billion, up 22.4 percent year on year, while total income rose 20.2 percent to A$335.2 million. Transactions increased 20.3 percent to 27.4 million, and the group ended the quarter with 6.5 million active customers, up 3.5 percent.
The standout performer was the U.S. business, where transaction volume surged 43.1 percent in U.S. dollar terms to US$2.12 billion. Active customers grew 9 percent, adding 375,000 accounts, while merchants on the platform rose 17.9 percent. Zip expanded its Pay-in-Z offering with the launch of Pay-in-2, giving customers greater flexibility for everyday purchases.
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In Australia and New Zealand, the business delivered steady profitable growth. Revenue and Australian receivables increased 5 percent and 8.7 percent respectively. Zip also announced the upcoming launch of ZMobile in April 2026, a new capital-light mobile offering in partnership with TPG Telecom that is expected to diversify revenue streams.
Net bad debts stood at 1.9 percent of total transaction volume, in line with management targets. In the U.S., credit losses remained steady at 1.86 percent of TTV, with expectations for further improvement below 1.75 percent in the fourth quarter.
On the back of the robust third-quarter performance, Zip upgraded its full-year 2026 group cash EBTDA guidance to no less than A$260 million, up from previous expectations that second-half performance would be broadly in line with the first half’s A$124.3 million. On a constant currency basis, the figure equates to at least A$271 million.
The company reaffirmed its other key FY26 targets, including U.S. TTV growth greater than 40 percent in U.S. dollars, group revenue margin around 8 percent, cash net transaction margin between 3.8 percent and 4.2 percent, operating margin above 18 percent, and cash EBTDA as a percentage of TTV above 1.4 percent.
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Group CEO and Managing Director Cynthia Scott highlighted the resilience of Zip’s business model. “Zip’s resilient business model continues to drive increased profitability at scale, delivering record cash earnings of $65.1m, up 41.5% year on year,” Scott said in the results update. “Operating margin expanded 292 bps to 19.4%, reflecting strong unit economics and significant operating leverage. Momentum continued across both markets, underpinned by deepened customer engagement and disciplined execution.”
Scott noted particular strength in the U.S., where the company is balancing rapid growth with credit discipline. She also pointed to innovation in the ANZ market, including the ZMobile launch, as a way to broaden the customer proposition.
The upgrade and solid metrics triggered a sharp rally on April 17, with shares surging as much as 24 percent intraday before closing up around 13-14 percent on exceptionally high volume exceeding 26 million shares. Monday’s further 7.73 percent gain brought the two-day advance to roughly 22 percent, pushing the stock well above recent lows and reflecting renewed confidence in Zip’s turnaround story.
Analysts and market observers viewed the results as evidence that Zip is successfully executing its strategy of profitable scaling, particularly in the competitive U.S. buy-now-pay-later space dominated by players like Affirm and Afterpay’s parent Block. The improvement in operating margins and steady credit performance helped alleviate earlier concerns about profitability and asset quality that had weighed on the stock in prior periods.
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Zip has faced volatility in recent years, including a significant share price drop earlier in 2026 after a first-half earnings miss. However, the company has since demonstrated consistent progress through cost discipline, product innovation and focused growth in higher-margin segments.
The U.S. market now accounts for the majority of Zip’s transaction volume, and management continues to see substantial runway for expansion. Recent merchant additions and enhancements to the Pay-in-Z product are designed to capture more everyday spending rather than large-ticket purchases alone.
In Australia, despite a more mature market, Zip is returning to growth in receivables and exploring adjacent opportunities such as ZMobile to drive engagement and new revenue without heavy capital outlay.
Investors have also noted Zip’s ongoing capital management efforts, including an on-market share buyback program that has repurchased millions of shares in recent months, signaling management’s view that the stock remains undervalued.
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Broader market sentiment toward fintech and growth stocks has improved modestly in April amid easing geopolitical tensions and hopes for stable interest rates, providing a tailwind for Zip’s recovery. However, the company’s own operational delivery appears to be the primary driver of the recent outperformance.
Looking ahead, all eyes will be on Zip’s full-year results scheduled for August 20, 2026. The upgraded guidance sets a high bar, but analysts suggest the company is well-positioned to meet or exceed it if U.S. momentum persists and credit metrics remain controlled.
Challenges remain, including competition, regulatory scrutiny in the BNPL sector and potential economic slowdowns that could pressure consumer spending. Zip’s ability to maintain low bad debts while growing aggressively in the U.S. will be a key test.
For now, the market is rewarding the progress. At A$2.51, Zip’s market capitalisation sits around A$3.1-3.2 billion, still well below peaks seen in the post-pandemic BNPL boom but reflecting renewed optimism.
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Shareholders and potential investors will monitor upcoming trading updates and any further product launches closely. The ZMobile rollout in Australia could provide an early indicator of success in diversifying beyond core lending products.
Zip Co has transformed from a high-growth, loss-making disruptor into a more mature player focused on sustainable profitability. Monday’s trading and last week’s results suggest investors are increasingly buying into that narrative.
As the buy-now-pay-later sector matures globally, Zip’s emphasis on unit economics, geographic diversification and innovation positions it to compete effectively. Whether the current rally sustains will depend on delivery against the upgraded targets in the critical fourth quarter.
For Australian investors, Zip remains one of the more prominent pure-play fintech stories on the ASX. Its recovery path offers a case study in how disciplined execution and market adaptation can rebuild shareholder value after periods of turbulence.
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With the stock up significantly in recent sessions, some traders may take profits, but underlying fundamentals appear supportive for those with a longer-term horizon. The coming months will reveal if Zip can convert quarterly momentum into consistent full-year outperformance.
A tsunami warning has been issued for certain areas in northern Japan following a magnitude 7.5 earthquake.
The government has warned that tsunami waves three metres high may hit the country.
Tsunami Warning Issued After 7.5 Earthquake
According to a report by CNN, the earthquake struck off the northeastern coast of Japan. The Japan Meteorological Agency (JMA) has since issued a tsunami warning for the Iwate prefecture, as well as parts of Hokkaido and Aomori.
The report notes that a CNN producer in Tokyo noted that the earthquake lasted around seven minutes.
The Japanese government, led by Prime Minister Sanae Takaichi, is now calling for those in the affected areas to evacuate immediately.
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“At this time, we are still confirming the extent of human and material damage, but we will receive detailed reports shortly and proceed with disaster response efforts,” Takaichi told reporters.
Tsunami Waves Already Recorded in Different Locations
According to the live coverage of ABC News, tsunami waves have begun to hit different locations in Japan.
A wave 80 centimetres high has been recorded in Kuji Port, while a wave measuring 40 centimetres was detected at Miyako Port.
Abnormalities have not been reported in the nuclear plants in the area, which are located in Aomori and Miyagi.
Liquidators of collapsed medicinal cannabis company Melodiol Global Health want to question banned director Adam Blumenthal, but lawyers are struggling to serve him while he is overseas.
The precision manufacturer told the stock market on Monday its order book had expanded
Renishaw New Mills headquarters (Image: Renishaw )
Gloucestershire engineering firm Renishaw has raised its revenue and profit guidance for the full year after a “substantial” expansion of orders. The FTSE-250 company told investors on Monday (April 20) it had seen “particularly strong demand” from customers in the semiconductor and electronics manufacturing equipment, and aerospace and defence sectors.
This has led to the business increasing revenue expectations from £775m to £805m and adjusted profit before tax from £145m to £165m.
“We are actively managing the challenges and increasing costs imposed by ongoing economic and geopolitical uncertainties and supply chain pressures,” Renishaw said in a statement.
The listed group, which was established by the late Sir David McMurtry and John Deer in 1973, said it would provide an update on its revenue performance for the 12 months to the end of March on May 6.
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Last month, Renishaw announced it had refreshed its board with three appointments, including a renowned British academic as its new chair.
The news came just months after the precision manufacturer confirmed it had made ownership changes to the business as part of a succession plan.
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