2024: Growth Already Lost, Houchois Predicts.
The sensational Tesla Cybertruck, undoubtedly amongst the most talked about vehicles in recent months, may not prove to be a great boost for Elon Musk’s electric car company at present, and calling off production of it might actually work in their stock’s favour.
Phillipe Houchois, an analyst at Jefferies, has reduced the cost of Tesla stock to $210 per share after assessing the lower projections for earnings and free cash flow. This statement was made by Houchois in reference to this event.
It’s a daring statement, now that the Tesla Cybertruck is only one week away from being released and internet users have been uncharitable to the fiscal expert as demonstrated in the exchanges located on Sawyer Merritt’s X post shown underneath.
Disregarding the claim about Tesla scrapping their groundbreaking electric pickup truck, the other assertions from this financial analyst might not be too far off. Houchouis noted in his documentation that Tesla may fail to take advantage of opportunities due to their slower pace of progress, when contrasted with European car manufacturers launching models at approximately 25,000 euro soon and Chinese car firms operating with speedier product cycles.
“I just want to temper expectations for Cybertruck,” Tesla CEO Elon Musk said during the third-quarter earnings call last month. “It’s a great product, but financially, it will take a year to 18 months before it is a significant, positive cash flow contributor. I wish there was some way to be different, but that’s just my best guess.”
Houchois suggested that, rather than devoting substantial funds to the expansion of Cybertruck manufacturing, the company should prioritize production for “highly international markets and the fulfilment of 4680 cells for Model Y”.
As the end of November draws nearer, the long-awaited arrival of the Cybertruck is edging closer to becoming a reality, over four years after its unveiling. Nevertheless, it appears that buyers will not be receiving the vehicle quite yet; as reported by Mexican newspaper Milenio, it is likely that only ten instances of the Cybertruck will be handed to Tesla workers at the end of this month, much the same way that thirty staff members were given the keys to the Model 3 in 2017.
Though the original implementation of the Model 3 wasn’t super speedy, it hasn’t hindered its all-around success across the globe. In fact, it’s Tesla’s second most popular vehicle, just behind the esteemed Model Y crossover.
What is your opinion on the finance expert’s comments? Make sure to leave us your thoughts in the comments portion below.
I am genuinely amazed with your deep insights and excellent writing style. Your expertise shines through in each paragraph. It’s clear that you spend considerable time into researching your topics, and the results does not go unnoticed. We appreciate your efforts in sharing this valuable knowledge. Keep up the great work! https://rochellemaize.com
I am genuinely amazed by your keen analysis and superb way of expressing complex ideas. The knowledge you share clearly stands out in every piece you write. It’s evident that you put a lot of effort into delving into your topics, and the results is well-appreciated. We appreciate your efforts in sharing this valuable knowledge. Continue the excellent job! https://www.elevenviral.com