The criticism around Tesla selling emission credits proves that analysts don't understand the company's business

. In fact, Musk has rightly maintained that Tesla gets a raw deal on credit sales, because it can't always move them for their full price: the existing credit regime in California, for example, discounts ZEV credits for Tesla due to buyers being able to control their own demand.That aside, emission credits are baked into Tesla's business. It's the only automaker on the planet that produces electric vehicles and nothing else, so it consequently racks up a huge number of credits.

Musk has been playing nice with Wall Street since last year's infamous flip-out, but the reality is that Tesla doesn't much care for the public markets . Musk's dislike for banks is of course intensified by his robust appetite for capital. He'll probably have to go hat-in-hand to the financiers again this year, either to raise money through issuing equity or with another round of junk-bond issuance.

As the fundamental grind of building and selling vehicles has become Tesla's daily struggle — Q1's poor results were due largely to logistics challenges in shipping cars to Europe and Asia — Wall Street has pulled back on ambitious price targets and soured on Tesla's disruptive capabilities.

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Tesla misses big on first-quarter earnings as demand fell for electric carsAfter lackluster Model 3 deliveries, Tesla posted a wider-than-expected loss and less revenue than anticipated during the first quarter. Never store your crypto on any exchange ! It is not secured, Get a New Ledger Nano X today at discount price Demand fell for Teslas dawg...don’t conflate it! Did sales of total EV increase during the same period? Are consumers switching to other brands?
Source: CNBC - 🏆 12. / 72 Read more »

Twitter not amused by long wait for Tesla earningsTwitter was ablaze on Wednesday with humorous commentary and speculation over wh... Twitter users not amused by the long wait for realDonaldTrump twitter account to be suspended. Why can’t twitter say that for itself on twitter? How is this Reuter’s top news? Leave the lazy takes to the bloggers and social media interns. You’re supposed to be actual journalists.
Source: Reuters - 🏆 2. / 97 Read more »