Shares of (NASDAQ: TSLA) were sinking after the electric vehicle (EV) maker reported disappointing second-quarter results and offered a muted outlook for the rest of the year. Following the sell-off, the stock is now down about 12% year to date.

Let's take a closer look at the company's most recent results and whether investors should consider buying or selling the stock.

For Q2, Tesla saw a marginal 2% rise in revenue, year over year, to $25.5 billion. Adjusted earnings per share (EPS), however, plunged 43% to $0.52, while adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) declined 21% to $3.7 billion. The profitability metrics were hurt by a 39% increase in operating expenses and a slight decline in gross margins from 18.2% to 18%.

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Source Fool.com