Tesla Succumbs To The Reality Of The Market In Q3 Results

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Tesla's Q3 results weren't as robust as CEO Elon Musk had hoped, and the tone of the investors' call reflected the disappointment.

Tesla’s Q3 results really shouldn’t have surprised anyone. Like the Model X before it, the upcoming Cybertruck is taking longer than originally announced to reach production. This was one of several topics during the Tesla Investor Relations call on Wednesday that unsettled shareholders, who aren’t used to double-dipped reporting weaknesses. Tesla has not missed the mark on both earnings and revenue since Q2 2019.

at its German factories and has cancelled plans to build a new $2 billion factory in Wolfsburg. Volta Trucks didn’t get much beyond the startup stage and So, right now for Tesla, it’s all about lining up demand in sync with production capacity. That doesn’t point to expansion in the near future. Essential focus will be on increasing efficiency on existing lines.In closing remarks, Musk acknowledged that his pessimism filtered through the IR call. “If anybody’s got any good guesses on this, I’d love to be less wrong.

Being at the top is lonely. Tough times require persistence and vision, which Musk has long shown. The economy may be proven to be more resilient than reports are indicating, and political winds change people’s attitudes quickly. The Q4 results will be a strong indicator if Tesla can sustain its hold on the EV marketplace and its allure among stockholders.I don't like paywalls. You don't like paywalls.

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