Tesla beat EPS expectations, but Wall Street still hit the sell button.

Tesla Q3 results delivered a mixed picture:

Revenue: $28.046B, broadly flat year-over-year.

Adjusted EPS: $0.48, beating the $0.45 forecast.

GAAP net income: $787M, down 43% year-over-year.

After-hours reaction: TSLA$0.00 Shares fell more than 3%.

The headline earnings beat wasn’t enough to offset the sharp decline in reported net income.

Tesla beat the estimate, but apparently the market had a different exam in mind.

When a company beats EPS but profits plunge, what matters more to you: expectations or the underlying numbers?