Margin Pressure and Policy Risks
Tesla Stock Analysis: NASDAQ:TSLA Faces Margin Pressure, Policy Uncertainty, and Market Optimism Defying Fundamentals
NASDAQ:TSLA Q2 Earnings Reveal Margin Compression and Credit Dependence
Tesla (NASDAQ:TSLA) entered the second half of 2025 under extreme scrutiny as its Q2 earnings laid bare the company’s dependence on regulatory credits and its thinning automotive margins. Revenue from carbon credits exceeded $400 million in Q2, keeping profitability afloat. Without these credits, Tesla’s net income would have slipped into negative territory. The looming “One Big Beautiful Bill,” which Elon Musk has sharply criticized as “utterly insane and destructive,” threatens to unwind Biden-era EV tax credits and weaken EPA emission…
