NEW YORK: Shares of Tesla Inc slid on Thursday, dragging down rivals after the main electrical automotive maker delayed releasing new automobiles till subsequent 12 months due to supply chain disruptions it stated may final by this 12 months.
Tesla’s inventory dropped 8%, down 30% from its report excessive in November and set for its largest one-day share fall since then, after the U.S. firm’s robust quarterly report got here with its supply chain warning.
Chief Executive Elon Musk advised a quarterly convention name that Tesla wouldn’t launch new fashions like Cybertruck this 12 months as a result of it could dent quantity development within the face of supply chain headwinds that may be alleviated solely subsequent 12 months.
He stated Tesla would concentrate on ramping up quantity of current fashions in 2022 by greater than 50% relatively than launching new ones.
The warning bodes ailing for legacy automakers and startups, which have promised new electrical car (EV) fashions in coming months.
“Tesla is even having hassle. Other EV corporations should not going to have the ability to produce these automobiles as quick as they need,” stated Curzio Research CEO Frank Curzio, including that the quantity development of many new fashions may very well be pushed into 2023.
Shares of other EV makers additionally fell, outpacing the Nasdaq’s slide. Rivian Automotive Inc dropped 9% and was on observe to shut at its lowest for the reason that EV pickup truck maker’s market debut in November.
Lucid Group Inc dropped 11%, Lordstown Motors Corp misplaced 8% and Nikola Corp fell greater than 7%. U.S. shares of Chinese EV maker Xpeng Inc slid nearly 9%.
Musk stated Tesla was not engaged on a mannequin that may promote for $25,000, though analysts have stated it wanted such a automotive to hit its quantity targets.
At least six analysts raised their value targets after Tesla’s report. Some regarded past supply chain points and pointed to robust development expectations.
The median analyst value goal is now $1,087, which is about 26% above Tesla’s present value of $862.89.- Reuters
