Monday, May 23

Tesla races: Down ten percent

On Wednesday, Tesla presented results that showed that the supply crisis affects the speed of production. Today, the electric car manufacturer is severely punished on the stock exchange, and is down over 9.5 percent.

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Tesla shares are now at their lowest point since October last year, and are down over 20 percent in 2022.

On Wednesday, Tesla presented results that exceeded analysts’ expectations. But they could also tell that their supply chains were affected, and that none of the factories had been producing at full capacity for several months.

During the trading day on Thursday, the share has fallen steadily, and at the time of writing is down 10 percent.

“Now that chip shortages remain a major problem, these delivery figures are impressive, showing strong demand for electric cars, which looks solid for Tesla heading into 2022,” said analysts Daniel Ives and John Katsingris of Wedbush Securities, according to Bloomberg.

Due to chip shortages and supply problems, Tesla had to postpone several of its planned launches of new cars, in order to keep production as high as possible. Putting new cars into production now will lower the production volume, said Tesla’s CEO Elon Musk.

“The Tesla stock tends to do best when something new is on the way,” Jeffrey Osborne, an analyst at Cowen & Co, told Bloomberg.

Several other electric car manufacturers are also raging, reports Reuters, pointing to significant declines in Rivian, Lucid Group, Lordstown Motors and Nikola.

Reference-www.aftenposten.no

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