Tesla options suggest its shares won't get back to $200 until July now, instead of May. Tesla earnings margins not expected to recover till 2025. Why watch Mag-7, Oil & US defence stocks this week

Tesla $Tesla(TSLA.US)$ results on Tuesday will be in the spotlight with its earnings expected to disappoint estimates yet again, while its revenue probably fell for the first time since 2020 after its largest delivery drop on record, according to Bloomberg. Revenue is expected to have fallen 4.4% YoY to $22.305B with earnings expected to have dropped 22.1% to $3.323B. This is according to Bloomberg Consensus.

Defense government contractors: Defense stocks kick off earnings on Tuesday, with Lockheed Martin ( $Lockheed Martin(LMT.US)$ ) out of the gate, and Northrop Grumman ( $Northrop Grumman(NOC.US)$ ) on Thursday. They’re key US defense contractors and will be a key focus as Middle East tensions escalate, while the US and Australian governments increased their defense budgets yet again. Plus, there are proposals to send aid to Israel, Ukraine and Taiwan in the works and this may boost military gear and weapons sales according to Bloomberg. Lockheed Martin’s (LMT) operating income is expected to have fallen 6.6%, consensus shows, partly due to losses tied to a classified missile program. While demand for Lockheed’s legacy missiles is expected to remain strong. Lockheed also wont a $17 billion contract to create new anti-ballistic missiles. Northrop’s results are out Thursday. It’s expected to post a 5.6% bump in operating income.

Mag-7 in the spotlight. Will Meta's results $Meta Platforms(META.US)$ delight again? On Wednesday Meta’s average revenue per user should increase to $11.59, according to consensus estimates. The social network company is better positioned than peers for a faster rebound in average revenue per user, but its Blue app has lost engagement, according to Bloomberg.

Expectations are high for Microsoft's results $Microsoft(MSFT.US)$ on Thursday. Its commercial cloud revenue growth is expected to remain strong at 19%. While growth across most cloud products are expected to be strong, yet guidance on Azure may be affected by a worsening business climate amid increased Middle East uncertainty, according to Bloomberg.

Also on Thursday, Alphabet's $Alphabet-A(GOOGL.US)$ results will be released, with revenue expected to expand 13% for a second straight quarter. Generative artificial intelligence workloads and copilots should boost the company’s cloud segment revenue by 400 basis points to 600 basis points, according to Bloomberg.

Also on Thursday, Intel's $Intel(INTC.US)$ revenue is expected to have grown 8.6%, driven by client computing. Still, four of its six segments probably saw sales slump. Analysts will look for comments on China ordering telecommunications companies to replace all foreign chips in the country’s networks by 2027.

And finally on Friday, Oil companies will probably steal the show, with energy companies shares outperforming the market, with Exxon's $Exxon Mobil(XOM.US)$ market cap now overtaking Tesla. Is this a sign of the times? Exxon's (XOM) adjusted earnings per share will likely come in 12% lower than its prior quarter due to falling energy prices and a drop in profit from mark-to-market derivatives. Also keen an eye on Chevron ( $Chevron(CVX.US)$), and Phillips 66 ( $Phillips 66(PSX.US)$), which also report Friday, should also report declines in earnings. But,