In 1895, Nikola Tesla designed the first hydroelectric power station located at Niagara Falls, New York, which was a significant milestone in the global electrification process. Over a century later, Elon Musk carries a similar dream of leading the future of electrical power.

However, recent news has made the public question whether Musk can deliver on his promises.

According to Forbes, it has been discovered that all the content published on the blog before 2019 has been deleted, including its 2006 'Master Plan' climate manifesto. $Tesla (TSLA.US)$ According to Forbes, it has been discovered that all the content published on the blog before 2019 has been deleted, including its 2006 'Master Plan' climate manifesto.

In this plan, Musk wrote, 'Build sports car, use that money to build an affordable car, use that money to build an even more affordable car,' while also providing zero-emission power production options throughout the process.

Musk's current focuses include the planned launch of a self-driving taxi service in October, as well as Donald Trump.

After an assassination attempt in July, Musk publicly announced his support for Trump, and in August, he engaged in a two-hour online conversation with the former US president, with as many as 1.3 million listeners tuning in via X (formerly known as Twitter).

Tesla has fallen due to underperforming in the second quarter.

Tesla did not meet the profit expectations for the June quarter, with earnings per share of 52 cents, compared to an expected 62 cents. Revenue was $25.5 billion, slightly higher than the expected $24.77 billion, while automotive sales and leasing revenue declined by 6.5% to $19.9 billion.

Tesla's electric car sales faced obstacles in this quarter and lost some market share.

According to data from Cox Automotive, electric car sales of non-Tesla brands in the United States grew by 33% in the first half of 2024. However, InsideEVs reported that Tesla's electric car sales declined by 9.6%.

However, the company's energy business is thriving, which includes solar panels, charging stations, and battery packs for residences and utilities.

In the second quarter, Tesla's energy generation and storage division generated $3 billion in revenue, doubling from $1.5 billion in the same period last year.

The company stated in a press release: "Megapack and Powerwall both achieved record deployment in the second quarter, with a total storage deployment of 9.4GWh. Overall, the energy business created record revenue and gross profit in the second quarter." Megapack and Powerwall are Tesla's lithium battery energy storage products.

The energy division accounts for only 12% of total revenue. Tesla's most important business is still automotive sales, which accounts for nearly 78%.

Analysts say that Tesla's stock is a buying opportunity for the following reasons: despite the decline in Tesla's profitability, investment bank William Blair recently recommended buying Tesla's stock.

Analyst Jed Dorsheimer has given Tesla a rating of outperforming the market for the first time. He mentioned that the company is developing an 'Apple-like' energy ecosystem that integrates with its automotive business and long-term opportunities such as AI, autonomous taxis, and robot technology.

In the report, Dorsheimer pointed out: 'We believe Tesla Energy is the most underestimated component of the Tesla story, and we expect the story to shift towards energy storage as expectations for electric vehicles weaken in the near future.' He also added that Tesla's Megapack and Powerwall are 'industry-leading products.'

Piper Sandler analyst Alexander Potter also recommends buying Tesla stocks, citing Tesla's increasing profitability in large fixed batteries and fully autonomous driving software.

This analyst predicts a long-term gross margin of 20% for Tesla Energy and maintains an overweight rating on Tesla stocks, with a target price of $300.

Editor/Somer