TSLA Stock Declines Over 5% as Tesla Goes Short on Specifics on New Products or Services at 2023 Investor Day

The automaker plans to ramp up battery production for all vehicles and utility-scale energy storage systems.

It appears investors are not pleased with the outcome of the Tesla 2023 Investor Day held on in Austin, Texas. CEO Elon Musk and other executives at the manufacturing company discussed Tesla’s position to influence a global shift from fossil fuels to renewable energy. Although Musk shared the “Master Plan 3” and spoke on the plans to advance amid increasing competition, the presentation was short on specifics on new products and services to expect. The 2023 Investor Day was slightly different from others, where Tesla Inc (NASDAQ: TSLA) usually announces a new product or an additional service. The presentation focused on past achievements and no specifics on future business, resulting in the EV maker plunging 5.61% after-hours trading.

Tesla Holds 2023 Investor Day

At the event on March 1, Tesla did not give details of the upcoming plant in northern Mexico. Mexico president Andres Manuel Lopez Obrador recently announced the approval for a new Tesla factory in the industrial hub of Monterrey. The chief head emphasized the expansion while speaking during the 2023 Investor Day:

“We’re excited to announce that the next Tesla gigafactory will be in Mexico near Monterey. We do want to emphasize we will continue to expand production at all of our existing factories, including California, Nevada, here in Texas, Shanghai. So we intend to increase production at all factories. So the Giga Mexico would be supplemental to the output of all the other factories.

At the same time, there was no reference to the next-generation electric vehicles for investors and consumers to expect. In addition, the Tesla boss did not address the currently unavailable Full Self-Driving software.

Despite that there are no specifics on prospective products and services, Musk stated:

“There is a clear path to a sustainable-energy Earth. It doesn’t require destroying natural habitats. It doesn’t require us to be austere and stop using electricity and be in the cold or anything. In fact, you could support a civilization much bigger than Earth, much more than the 8 million humans could actually be supported sustainably on Earth.”

Along with Tesla’s Senior Vice President of Powertrain and Energy Engineering, Drew Baglino, Musk shared the company’s vision on renewable fuels. The automaker plans to ramp up battery production for all vehicles and utility-scale energy storage systems. While it produced 1,369,611 vehicles in 2022, it delivered 1,313,851. Meanwhile, Toyota sold 10.5 million vehicles in the same period. Looking ahead, Tesla intends to make 20 million EVs each year by 2030. Tesla wants to scale existing plans and build new ones to achieve its goals for increased production and deliverables. The company also mentioned vertical integration and efficient manufacturing processes as more ways to reach its target. According to Musk, the AI company could increase its models over time.

At press time, Tesla stock remains at an after-hours trading of $191.40, having gained 0.35% in the last five days.

Business News, Market News, News, Stocks, Technology News

Ibukun Ogundare

Ibukun is a crypto/finance writer interested in passing relevant information, using non-complex words to reach all kinds of audience.
Apart from writing, she likes to see movies, cook, and explore restaurants in the city of Lagos, where she resides.

Source link

Leave a Comment