appConfigEntityId

bodyType

customContents

entityId

entityUuid

isVideo

articlePageQuery

article

articleSchemaContent

content

hooksArticlePageAdvertisementConfigArticle

hooksArticlePageFloatingButtonConfigArticle

appConfig

filter

json

liveArticle

Bloomberg

Tesla shares wiped out about US$109 billion off its valuation during a single day after the electric vehicle maker’s fourth-quarter earnings and outlook failed to impress investors.
Shares of the Austin, Texas-based electric vehicle maker plunged nearly 12 per cent on Thursday after an earnings call the previous day that was long on a humanoid robot called Optimus and short on new vehicles.
The stock closed at US$829 in New York, the lowest since October 14. The decline was the second biggest on the S&P 500 Index on Thursday. The last time Tesla erased more than US$100 billion in market value in a single day was November 9.
During Tesla’s fourth-quarter earnings call on Wednesday, Chief Executive Officer Elon Musk said that the company would not bring any new vehicles to market this year. That was a letdown for many who assumed Musk’s promise of an “updated product road map” would include bullish news about the Cybertruck, Semi truck and plans for future, cheaper models.
The perfect electric car for China needs to go far, at an affordable price
“Tesla is clearly running out of momentum, and the lack of a launch of a low-budget car in the mid-US$20,000 range really dampens the growth outlook as the competition tries to catch up,” said Edward Moya, senior market analyst at Oanda.
During the call, a more broadly affordable, US$25,000 version of Tesla’s mass-market Model 3 was dismissed as not being currently worked on, with greater emphasis placed on Tesla’s work around artificial intelligence and autonomy.
Tesla to assemble cheaper version of Model 3 electric cars in China
“In talking product pipeline, Musk pivoted from future vehicles (like the Roadster or < US$25k Model 2) to robotaxis and humanoid robots,” wrote analyst Brian Johnson of Barclays in a note to clients. “While we recognise that robotaxis are a crucial part of the bulls’ ‘blue sky’ valuations for Tesla, we are concerned about the lack of a physical product pipeline.”
Additionally, Tesla’s Chief Financial Officer Zachary Kirkhorn warned that near-term higher input costs could impact the company’s market-leading margins.
“We are also seeing inflation and rising commodity prices which we expect to continue to put pressure on our costs. How this specifically impacts gross margins is uncertain,” Kirkhorn said.
The gloom from Tesla’s results spread to other EV start-ups as well, with stocks including Rivian Automotive, Lucid Group and Fisker all falling 10 per cent or more.
Thursday’s rout adds to an already troubled run for these companies, which have been heavily beaten down amid a wider sell-off in technology and growth stocks due concerns about rising interest rates. These three stocks combined have lost over US$13 billion in market capitalisation.


Elon Musk says Tesla has a rare-earth-free motor. Should China be worried?

Tesla offers rare China inventory discounts to fight sliding Shanghai production sales

China’s ‘Tesla imitators’ have a new mission: build affordable humanoid robots for consumers

Tesla to exhibit Cybercab robotaxi in China: can it spark buzz amid slow sales?

Tesla

Is the wild ride over? Tesla loses US$100 billion of value in a day after 12 per cent plunge in its stock

Tesla’s Gigafactory in Shanghai on November 20, 2020. Photo: Xinhua

Like the Tesla stock rally? With Stock Connect, Chinese investors may get a shot at 51 per cent upside in challengers Xpeng and Li Auto

An art installation of a vehicle at the XPeng Inc. booth at the Auto Shanghai Show in April 2021. Photo: Bloomberg

Tesla Autopilot and other mainstream assisted driving systems far from reliable, Chinese study finds

Tesla CEO Elon Musk walks next to a screen showing an image of Tesla Model 3 car. A new study found that Tesla Autopilot and other driver assisted systems underperform. Photo: Reuters

Tesla signs deal to source key battery component graphite from Mozambique in bid to reduce dependence on China

A Tesla Supercharger station in Buford, Georgia. Tesla is turning to Mozambique for graphite, a key component in its electric car batteries. Photo: AP Photo

Elon Musk, the CEO of Tesla. Photo: Reuters

Tesla’s Musk, Hollywood stars join fight to oppose subsidy cut for California’s rooftop solar systems

Boxes of petitions against proposed reforms that solar energy advocates claim would handicap the rooftop solar market are seen in front of the governor’s office during a rally at the Capitol in Sacramento, Calif., Wednesday, Dec. 8, 2021.  Photo: AP 

Tesla’s China deliveries hit record in December even after prices of Model 3 and Model Y cars are raised

Tesla had a stellar December, delivering a record number of cars to customers in China. Photo: Reuters

Tesla’s China-made Model 3 vehicles are seen during a delivery event at its factory in Shanghai, China, on January 7, 2020. Photo: Reuters

Business

Companies


Tesla’s shares plunged by 12 per cent to US$829 overnight in New York, the lowest since October 14
The electric car maker’s decline was the second biggest on the S&P 500 Index



During Tesla’s fourth-quarter earnings call on Wednesday, Chief Executive Officer Elon Musk said that the company would not bring any new vehicles to market this year, a letdown for many.


Electric & new energy vehicles

Automobiles

Stocks

US-listed Chinese stocks

Is the wild ride over? Tesla loses US$100 billion of value in a day after 12 per cent plunge in its stock

.css-1mniedq{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;} Tesla’s shares plunged by 12 per cent to US$829 overnight in New York, the lowest since October 14 The electric car maker’s decline was the second biggest on the S&P 500 Index

Tesla’s shares plunged by 12 per cent to US$829 overnight in New York, the lowest since October 14

The electric car maker’s decline was the second biggest on the S&P 500 Index