Key Takeaways Tesla is scheduled to report second-quarter earnings after the closing bell on Wednesday, after deliveries fell short of estimates earlier this month.Revenue and profits are each expected to decline compared to the same time a year ago.

Despite these issues, Tesla investors appear to be convinced that the company will experience a surge in sales trends at some point. This is evident by the wild premium the stock commands. Shares trade at a price-to-earnings ratio of 169 as of this writing. A valuation like this bakes in huge sales and earnings growth for years to come.

Retail messages on Stocktwits about EV giant Tesla Inc. (TSLA) have declined by about 28% over the past seven days, ahead of the company’s second-quarter earnings. Tesla is scheduled to report its second-quarter (Q2) earnings after the market closes on Wednesday,