Tesla’s market cap sank by $60 billion in a single session. The YTD and annual trend of the stock.
The fanfare announcement of the Tesla, which came with the event that Elon Musk organized last Thursday in Hollywood, may have caused excitement in the world of social media, but certainly not on Wall Street.
The investment community has actually rejected the novelty “Cybercab”, a 100% self-driving vehicle whose production should begin by 2026, attacking the TSLA stock with a flurry of sell-offs in the session last Friday, October 11.
The electric car giant’s shares have plummeted by almost 9%, causing Tesla’s market capitalization to slide by about $60 billion: the company’s shares thus sank, at the end of the trading day on Wall Street, to $217.80, bringing the YTD performance to a loss of almost 12% and the annual trend to a decline of 17%.
There was no positive effect, therefore, from Elon Musk’s euphoria who, according to analysts’ comments, was wrong not to disclose further details.
Little information was disclosed during the "We, Robot" event on Thursday night, other than the names of the new Cybercab and Robovan vehicles: the first at a price of just under $30,000 and the second with a capacity to transport 20 people.
Just before the event, Musk had limited himself to writing a simple post on his X ex Twitter: “All transportation will be fully autonomous within the next 50 years”: not enough to satisfy the curiosity of analysts, who have been too long accustomed to dreamy predictions announced by Tesla tycoons, destined to remain in the limbo of hypotheses for years.
According to the Guardian, Tom Narayan, an analyst at Royal Bank of Canada, wrote in a note to clients that “investors we spoke to said they thought the event lacked real numbers and timeframes”: exactly what “is typical with Tesla events. This one seemed to focus more on branding and marketing Tesla’s vision, rather than providing hard numbers. As a result, we had expected the stock to go down”.
Looking at the reaction of TSLA shares, the disappointment was definitely great.
The event didn’t impress Morgan Stanley analysts either, who highlighted another gap that Elon Musk’s latest show failed to fill.
According to them, Musk failed to present Tesla as a company oriented towards artificial intelligence (AI-artificial intelligence), given that he did not give any details on the improvements planned for the FSD system (Full Self Driving, autonomous driving system), nor did he say anything about a possible collaboration, which has been rumored for a long time, between Tesla and xAI, the latter artificial intelligence company he founded.
On FSD, Musk limited himself to saying that he expects Tesla models to be equipped with an “FSD without supervision” system, compared to the current one that requires human supervision.
The upgrade should be available in Texas and California starting next year in the Model 3 and Model Y electric cars. But experts are also skeptical about Tesla’s ability to meet the timeframe it has set itself to achieve its ambitious goals.
Original article published on Money.it Italy 2024-10-14 06:32:03. Original title: Tesla: Wall Street punisce le azioni, tonfo -9%. Analisti bocciano lo show Robotaxi di Elon Musk
