Tesla earnings disappoint Wall Street as Elon Musk’s AI push, pivot beyond cars hurt profits

Tesla shares fell more than 4 percent in extended trading after the automaker reported a profit miss and negative free cash flow of about 1.1 billion dollars in the June quarter, despite record vehicle deliveries. Capex more than doubled year-on-year to 5.8 billion dollars as CEO Elon Musk plans to spend over 25 billion dollars this year on AI, self-driving technology, robotaxis, and humanoid robots, nearly triple last year's outlay. The company's shares are down close to 15 percent year-to-date even as its market cap remains around 1.4 trillion dollars.