From the Wall Street Journal:
Investors shouldn't expect much mileage out of Tesla's latest capital increase.
The electric car company raised a total of $2.7 billion in convertible debt and stock earlier this month, its first trip to the capital markets since August 2017. That nearly two-year stretch was the company's longest between raises since it went public in 2010. It would be a big surprise, however, if Tesla can wait that long next time.
Elon Musk's decision to shore up Tesla's finances was certainly the right one given its likely trajectory without fresh cash. The auto maker posted a 31% sequential decline in first-quarter vehicle deliveries and burned nearly $1 billion in free cash. That left Tesla with $2.2 billion in cash and $3.2 billion in accounts payable at the end of the quarter, putting its long-term growth story, and even its medium-term survival, very much in question.