Tesla reported record free cash flow of nearly $4 billion in Q3 2025, a substantial increase from prior quarters, but missed earnings expectations with $0.37 EPS versus $0.41 estimated. Revenue beat at $28.10 billion, driven by a rush in EV purchases before the $7,500 federal tax credit expired on September 30, 2025. Tesla's stock rose 3.74% on October 31, 2025, closing at $456.56, reflecting positive sentiment on cash flow and revenue, despite concerns over falling profit margins and increased operating expenses. The stock is up 10% year-to-date but still trails the S&P 500.
Tesla Reports Record Free Cash Flow, Mixed Q3 Earnings
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