Key Points
- esla's stock plummets by over 7% following imprecise comments on Cybertruck and robotaxi readiness during the earnings call.
- The company warns of Q3 production slowdown due to factory upgrades, leading to investor concerns.
- Analysts express worry about Tesla's margin "headwinds," the lowest result in at least five quarters.
- Tesla surpasses expectations in Q2 2023 with revenue of $24.93 billion and earnings of 91 cents per share, adjusted.
- Despite the stock dip, Tesla remains a central player in the electric vehicle market, with its sustainable transportation vision garnering widespread attention.
Tesla Shares Slump Amid Margin Concerns and Cybertruck Questions
Tesla, the renowned electric auto maker, experienced a sharp decline in its stock price, plummeting by more than 7% on Thursday. The market reacted to imprecise comments made by CEO Elon Musk and other executives regarding the company's latest vehicle, the Cybertruck, and concerns over a robotaxi-ready car. Furthermore, Tesla warned investors that production would slow down in Q3 due to factory shutdowns for crucial improvements.
The Dip in the Stock
The dip in Tesla's stock marks the worst trading day for the company in the last three months. Analysts expressed concern over the company's margin "headwinds," highlighting a 9.6% margin, the lowest result in at least the past five quarters. Such concerns arose due to the possibility of Tesla lowering prices to support higher volumes, leading to short-term margin challenges.
Elon Musk, in his characteristic forthright manner, assured investors that Tesla would continue to target 1.8 million vehicle deliveries this year. However, he cautioned that Q3 production might experience a slight dip due to the scheduled summer shutdowns for significant factory upgrades.
Tesla's financial results
Tesla's financial results for the quarter ended June 30, 2023, revealed positive news for the company. The electric automaker surpassed expectations with revenue of $24.93 billion and earnings of 91 cents per share, adjusted. Despite this, the market's focus shifted towards Musk's elusive comments regarding the Cybertruck's delivery volumes. While Tesla reported a total of 466,140 vehicle deliveries for the second quarter, precise figures for the Cybertruck remained undisclosed. Musk only mentioned that the Cybertruck would be produced in high volume next year, with an unspecified number delivered in 2023.
On a brighter note, Tesla confirmed that the "factory tooling" for the Cybertruck is progressing as planned. However, the company is currently only producing "release candidate" builds, indicating that further refinements and testing are underway before full-scale production.
Despite the temporary setback, Tesla continues to be a focal point of the electric vehicle market and the sustainable transportation revolution. As the company addresses concerns and works on perfecting the Cybertruck, investors and analysts eagerly await further updates and progress in the electric vehicle industry.
Institutions Holding TSLA
- # of Institutions 3,295
- Shares Held 1.33B
- Call Options Held 145M
- Put Options Held 185M
About Tesla, Inc.
- Ticker TSLA
- Exchange NASDAQ
- Sector Consumer Cyclical
- Industry Auto Manufacturers
- Shares Outstandng 3,157,750,016
- Market Cap $694B
- Description
- Tesla, Inc. designs, develops, manufactures, leases, and sells electric vehicles, and energy generation and storage systems in the United States, China, and internationally. The company operates in two segments, Automotive, and Energy Generation and Storage. The Automotive segment offers electric vehicles, as well as sells automotive regulatory ...