With Tesla (TSLA) set to report first-quarter earnings after the market close on Wednesday, S&P Capital IQ analyst Efraim Levy sheds light on what investors can expect. Levy says he sees risk for the stock, as he believes there may be a pattern being established of investors paying a lot up front for future earnings. He says deliveries for the second quarter and the year will be important, as profits are driven from the amount of vehicles the company can deliver. Also, as the company has had some struggles in China, an important market to Tesla in terms of long-term growth, investors will tune into see how the company is progressing there. Plus, as the strength of the U.S. dollar could penalize profit margins, Levy stresses that impact will need to be gauged as well.
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