The Rundown - Tesla Q2 Deliveries Fall Short, Figma Files for IPO

Episode Date: July 2, 2025

Stock market update for July 2, 2025. Stocks mentioned in today’s show: Tesla (TSLA), Nvidia (NVDA), Netflix (NFLX), Broadcom (AVGO), Apple (AAPL), Verint (VRNT), OSCAR Health (OSCR), Amazon (AMZN).This video is for informational purposes only and reflects the views of the host and guest, not Public Holdings or its subsidiaries. Mentions of assets are not recommendations. Investing involves risk, including loss. Past performance does not guarantee future results. For full disclosures, visit ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Public.com/disclosures⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠.

Public.com presents the rundown, your daily market update in under 10 minutes. My name is Zadadmani, and today is Wednesday, July 2nd. In today's episode, we'll tell you about Tesla's disappointing delivery numbers and why the stock is still rallying. We'll also discuss the latest tech company to file for an IPO, and why Apple's plans to shift production to India just hit a major roadblock. Then stick around to the end of the show to find out how many robots are in Amazon warehouses and why they might fully replace humans one day.

We got a great show for you today. Let's go. Stocks got off to a slow start to kick off the second half of the year. The S&P 500 was down 0.1% yesterday. And tech stocks took an even bigger hit with the NASDAG down more than 0.8%. Stocks like Nvidia, Tesla, Netflix, and Broadcom dragged down the index. They were all down at least 3%. Now, the big macroeconomic news yesterday was,

the Senate passing the big, beautiful bill with a 51-50 vote. The bill is now headed to the House of Representatives where it's likely to face some resistance. President Trump has a self-imposed July 4th deadline to get the bill to his desk. So we'll see if that ends up happening. Meanwhile, investors are still holding their breath for more trade deal announcements. Remember the pause on reciprocal tariffs expires on July 9th. That's next week. So we might get a flurry of last-minute deals or President Trump could just extend the pause,

which is what I think is going to happen. And then don't forget, tomorrow morning we are getting the June jobs report, which will give us a fresh read on how the labor market is holding up. The labor market continues to be a bright spot with the economy continuing to add more jobs than expected for the last few months. And the unemployment rate is holding steady around 4%.

So we'll see if that continues in June, we'll break down the jobs numbers on tomorrow's show. And then in about two weeks, earning season kicks back into gear. So we'll have a lot to talk about this summer. Make sure you guys are subscribed for the podcast to stay in the loop. Let's run through some headlines. Starting with Tesla.

Tesla just reported their Q2 delivery numbers and it was a mixed bag. Tesla delivered just over 384,000 cars last quarter, which is a 14% drop from the same time last year and the second straight quarterly decline. So Tesla continues to slump and according to Bloomberg's analysts, Tesla is on pace to deliver just 1.65 million cars in 2025, which would be down to. 8% from 2024. But you know, despite these numbers, Tesla's stock is still rallying this morning. And I think that might be in reaction to the energy side of Tesla's business. Tesla said they deployed 9.6 gigawatts in Q2 of 2025, which is the best on record for the second quarter.

On top of that, Tesla's total Q2 production was over 410,000 cars, which beat expectations of 400,000 cars. And there was also some positive June data coming out of China. Tesla's China made EV sales grew 0.8% last month, which is the first increase for the company in nine months. But still, Tesla stock has a lot of ground to make up this year. Shares are down 26% this year as their sales are still under pressure. And these latest numbers don't seem to show that to be reversing just yet. And then you add in the fact that Tesla CEO Elon Musk is beefing with the president of the United States who has threatened to take away Tesla's government subsidies. I mean, the company has some challenges to overcome right now. By the way, a quick fun fact about

Tesla, they just passed their 15-year anniversary as a public company. And the stock has gone up 300 fold. We have another big tech name filing for an IPO. This time it's the design software company, Figma. You know, Figma has a lot of fans. The software has earned a reputation as a sleek collaborative platform with over 13 million monthly users. And it's become a hit amongst non-professional designers as well, with two-thirds of its users being non-designers. The company has over 450,000 paying customers, and more than 1,000 of those are paying over $100,000 a year. Their enterprise business has been strong. Clients include big names like Netflix, Duolingo, and Stripe. And just digging into their numbers, it's pretty impressive. Revenues in the first three

months of the year was $228 million, which is up 46% from a year ago. And their net income came in at $44.9 million in the first quarter, which is more than triple than it was last year. On top of that the company has $1.5 billion in cash sitting on their balance sheet. And a big reason for that is the failed acquisition by Adobe. See, back in 2022, Adobe tried to buy Figma for $20 billion, but that deal was blocked by UK regulators, which forced Adobe to pay Figma a $1 billion breakup fee. Now, Figma was most recently valued at $12.5 billion after a funding round last year. So their market value is down a bit from then what Adobe valued them. back in 2022. So it'll be interesting to see what the company is valued at once they go public.

But I'm just happy to see more tech companies starting to IPO instead of staying private. In fact, Figma CEO Dylan Field said it was time to buck the trend of amazing companies staying private indefinitely. So hopefully we'll have even more companies go public soon. As for Figma, they're going to debut on the New York Stock Exchange as soon as this month and they're going to trade under ticker symbol FIG. I'm surprised that was available. Let's quickly talk about Apple because there is some drama related to iPhone manufacturing. Apple's manufacturing partner, Foxcon, is reportedly pulling hundreds of its Chinese engineers and tech staff out of India. And this move could seriously slow down Apple's efforts to shift more production out of China and into India.

Foxcon has already sent back 300 employees and only a skeleton's crew remain at the Foxcon iPhone plant in southern India. And it looks like the Chinese government might have something to do with this because they're trying to slow to slow. down the shift of high-value manufacturing to India, Vietnam, and other countries that have benefited from the U.S.-China trade war. This is not great timing for Apple since we're just a few months away from the launch of the iPhone 17. Now, the good news for Apple here is that tensions between the U.S. and China seem to be easing. Just last week, President Trump announced a trade deal between the two countries. We still don't have full details of the trade deal just yet, but if tariffs get rolled back

as part of that agreement, that could be a win for Apple. So yeah, definitely something to keep an eye on. It looks like the Chinese government isn't going to let Apple just shift production to India without putting up some resistance. Let's talk about some stocks making moves today. Shares of Varent are popping off this morning at the report's surface that private equity giant Tama Bravo is looking to buy the company. Varent makes customer automation software, basically helping businesses deploy bots to take over routine interactions with customers. But that entire industry has been under pressure lately because of artificial intelligence. So depending on how Varen adopts to and integrates AI will be key to their future.

Now, in their most recent quarter, the company did report that its AI annual reoccurring revenue grew 24%. And now it makes up nearly half of their total subscription annual reoccurring revenue. And a private equity buyout could give the company more breathing room to reinvent itself without having to answer to Wall Street every quarter. So their stock is up 10% this morning as a result. Now, on the flip side, shares of Oscar Health are down 10% this morning after Barclays initiated coverage. on the stock with an underweight rating and a $17 price target. The investment bank is mostly concerned about policy risk. There's a lot of unknown right now with respect to health care coverage as President

Trump's big beautiful bill makes its way through Congress. If major parts of the Affordable Care Act get repealed, millions of Americans could lose coverage and that could shrink Oscar's customer base. Now, all that being said, Oscar's stock was coming off a heater in June where it jumped 50%. So this could just be a healthy correction. Let's wrap the show with a fun fact. Amazon now has more than 1 million robots working in its facility.

Just to give you some context of what that means, Amazon employees just over 1.5 million people, and most of those employees work in the warehouses. That means the company is on the verge of having more robots in their warehouses than humans. In fact, these robots have become so crucial to Amazon's operations that 75% of the global deliveries are now assisted in some form by robotics. And these robots are starting to replace human jobs. The Wall Street Journal estimates that the average number of workers at an Amazon warehouse is at its lowest level in 16 years.

So the robot takeover is quietly happening. On a side note, Amazon founder Jeff Bezos sold around 3.3 million Amazon shares worth around $737 million over the last few days. I guess he must have overshot his wedding budget. We've all been there, Jeff. Well, all right, guys, that's the rundown for today. Hope you guys enjoyed today's episode. If you did, if you have like eight extra seconds,

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